Is it possible that a risky asset could have a beta of zero


Beta and CAPM

Is it possible that a risky asset could have a beta of zero? Explain. Based on the CAPM, what is the expected return on such an asset? Is it possible that a risky asset could have a negative beta? What does the CAPM predict about the expected return on such an asset? Can you give an explanation for your answer?

Request for Solution File

Ask an Expert for Answer!!
Financial Management: Is it possible that a risky asset could have a beta of zero
Reference No:- TGS02364419

Expected delivery within 24 Hours