18. The linear relation refers to 1. the linear relation between expected return and market risk premium 2. the linear relation between expected return and risk-free rate 3 , the linear relation between total risk and undiversifiable risk 4. the linear relation between total risk and diversifiable risk 5. the linear relation between expected return and undiversifiable risk 19. Which of the following is/are true? I. Beta can be negative II. Higher beta guarantees higher realized return III. Positive beta assets show greater fluctuations of returns than negative beta assets IV. Beta of the porfolio composed of only risk-free asset and the market porfolio is less than one 1, I and II 2. I and III 3. II and IV 4. I and IV 5. I, III and IV