What will the beta of the portfolio

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Two companies McDonalds with a beta of 0.623 and Apple with a beta of 1.486, suppose you invest one third of your money in each of the stocks of these companies. What will the beta of the portfolio be?  What will the Expected Rate of Return on this portfolio be? Do you feel that the three-stock portfolio is sufficiently diversified or does it still have risk that can be diversified away? Explain.

Reference no: EM131089966

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