Question: 28. [4 points] Consider the following securities: Security Expected return Beta 0.9 1.4 0.8 12 Is it possible to form an arbitrage portfolio? If yes,

28. [4 points] Consider the following securities: Security Expected return Beta

28. [4 points] Consider the following securities: Security Expected return Beta 0.9 1.4 0.8 12 Is it possible to form an arbitrage portfolio? If yes, how will security prices be affected? Show your work

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