You construct a portfolio to match your friends return what


A friend says that she expects to earn 12.50% on her portfolio with a beta of 2.00 You have a two-asset portfolio including stock X and a risk-free security. The expected return of stock X is 10.00% and the beta is 1.15 The expected return on the risk-free security is 2.50%.

You construct a portfolio to match your friend's return. What is the beta of your portfolio?

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Financial Management: You construct a portfolio to match your friends return what
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