If a portfolio of the two assets has a beta of 2.80, what are the portfolio weights? (4 Marks) How do you interpret the weights for the two assets in this case? Explain. (3 Mark)

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# A share has a beta of 1.4 and an expected return of 16%. A risk-free asset currently earns 6.25%. What is the expected return on a portfolio that is

If a portfolio of the two assets has a beta of 2.80, what are the portfolio weights? (4 Marks) How do you interpret the weights for the two assets in this case? Explain. (3 Mark)