Business, 14.12.2019 04:31 pinapunapula

Stock a has a return volatility of 10% and a beta of 0.9. stock b has a return volatility of 20% and a beta of 0.6. according to the capm, which of the following statements is true?

a. stock a should have a higher expected return.
b. stock b should have a higher expected return.
c. stock a’s expected return should be higher than that of the market portfolio.
d. not enough information is provided.

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Stock a has a return volatility of 10% and a beta of 0.9. stock b has a return volatility of 20% and...

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