Now it's time for you to practice what you've learned. Consider the following information for Stocks A, B, and C. The returns on the three stocks, while positively correlated, are not perfectly correlated. The risk-free rate is 4.00%. Let ri be the expected return of stock i,rRF represent the risk-free rate, b represent the Beta of a stock, and rM represent the market return. Using SML equation, you can solve for the market risk premium which, in this case, equals approximately Consider Fund P, which has one third of its funds invested in each of stock A, B, and C. The beta for Fund P is approximately