Nico Wants to Invest All of His Money in Just

question 39

Multiple Choice

Nico wants to invest all of his money in just two assets: the risk-free asset and the market portfolio. What is Nico's portfolio beta if he invests a quarter of his money in the market portfolio and the rest in the risk free asset?

• A) 0.00
• B) 0.25
• C) 0.75
• D) 1.00

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Definitions:

Double-Consciousness

W. E. B. DuBois’s term for the divided identity experienced by blacks in the United States.

Du Bois

W.E.B. Du Bois, an American sociologist, historian, and civil rights activist known for his significant contributions to the study of African-American culture and history.

Black

Refers to a color in the visible spectrum, often symbolizing depth, mystery, or the absence of color; in socio-cultural contexts, it can denote racial or ethnic identity.

American

Pertaining to the United States of America, its people, culture, or characteristics.