Stock Portfolio Weight (%) Stock Beta A 0.21 0.70 B 0.29 1.10 n 0.26 0.80 D...

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Stock Portfolio Weight (%) Stock Beta A 0.21 0.70 B 0.29 1.10 n 0.26 0.80 D 0.24 1.20 (a) Calculate the beta for this portfolio. (2 marks) (b) Using your beta estimate from Part (a), comment on the relative volatility of this portfolio. If the market fell 2%, what portfolio return might you expect? (2 marks) (c) If the risk free rate is 0.75% and the expected return on the market is 8%, calculate the expected return for this portfolio using your beta estimate from Part (a) and the capital asset pricing model (CAPM). (2 marks) Stock Portfolio Weight (%) Stock Beta A 0.21 0.70 B 0.29 1.10 n 0.26 0.80 D 0.24 1.20 (a) Calculate the beta for this portfolio. (2 marks) (b) Using your beta estimate from Part (a), comment on the relative volatility of this portfolio. If the market fell 2%, what portfolio return might you expect? (2 marks) (c) If the risk free rate is 0.75% and the expected return on the market is 8%, calculate the expected return for this portfolio using your beta estimate from Part (a) and the capital asset pricing model (CAPM). (2 marks)