Q4: Using the following information: [24] E(T) = wE(r) + (1 - w)E(Tm) (p)= [w()+(1-w)o(m) +2w(1-w)cov(Tm)] 8. where w is the percentage of the portfolio allocated to securityj Derive the CAPM equation for security j: E(r) = r +j [E(rm) - rf] (18) i. Show and explain all your steps b. The final step before you successfully derive the CAPM is below, please carefully explain the interpretation/meaning of both the left-hand-side and right-hand-side of the equation. (6) E(rm) To(m)[E(r) - E(rm)] =1 (rm) cov (r), Tm) - o (Tm)