9. The Beta Bear Plus ETF (Exchange Traded ?Fund) is constructed so that its average return is equal to two times? (200%) the additive inverse? (opposite) of the average return on the market index. In other? words,

E(K_p) = -2 x E (K_M). Where K_p is the return on the fund and K_M is the return on the market portfolio. This ETF is designed for investors who want to make money when the market falls. If the? risk-free return is 3.30% and the expected return on the market is 12.20% then what is the beta of this? fund?

The beta of the Beta Bear Plus ETF is (?) ?(Round to two decimal? places.)

10. The table below presents performance data for two mutual funds over the last 5 years? -- the Socially Responsible? Fund, and the Diamonds Are Forever Resource Fund. The table also includes information on the returns of the market index and? T-Bills over the same period. Use this information to answer the question that follows.

	Return	Standard Deviation	Beta
Responsible	14.4%	37%	2.4
Diamonds	9%	32.30%	2.7
Market	6.0%	15%	1
T-Bills	1%	N/A	N/A

If you had invested in the market portfolio and? T-Bills in such a way as to match the beta of Diamonds Are? Forever, then what return would you have? earned?

The return on your portfolio would have been (?%) ?(Round to two decimal? places.)