Question: Alpha Company's estimated beta is 1 . 3 . This means that Alpha contributes _ _ _ _ _ to a well - diversified portfolio,

Alpha Company's estimated beta is 1.3. This means that Alpha contributes _____ to a well-diversified portfolio, assuming all stocks in the portfolio have approximately the same weight.
1.3% less risk
30% less risk
70% less risk
1.3% more risk
30% more risk

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