True false questions about CAPM
Are the following statements true or false?
(a) Stocks with a beta of zero offer an expected rate of return of zero.
(b) The CAPM implies that investors require a higher return to hold highly volatile securities.
(c) You can construct a portfolio with a beta of 0.75 by investing 0.75 of the investment budget in bills and the remainder in the market portfolio.© SolutionLibrary Inc. solutionlibary.com January 19, 2020, 1:40 pm 9836dcf9d7 https://solutionlibrary.com/business/finance/true-false-questions-about-capm-ji4r