Question $5$

The Capital Asset Pricing Model $($CAPM$)$ is a financial model that assumes

returns on a portfolio are Normally distributed.

Suppose a portfolio has an average annual return of $14\mathrm{.}7\%($i$.$e$.$ an average gain

of $14\mathrm{.}7\%)$ with a standard deviation of $33\%.$ A return of $0\%$ means the value of

the portfolio doesn't change, a negative return means that the portfolio loses

money, and a positive return means that the portfolio gains money.

What proportion of years does this portfolio lose money, i$.$e$.$ have a return less

than $0\%?$ Round your answer to three decimal places.