Question

Assuming you wanted a portfolio and its risk level is equal to the market risk with...

Assuming you wanted a portfolio and its risk level is equal to the market risk with beta of 1. Assuming you have RM2 million dollars, how much should you invest in:

stock K L M Risk-free Asset
Beta 0.8 1.13 1.29 0
Amount $370,000 $640,000 ?? ??

Required :

1) Stock M

2) Risk Free Asset

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