State RM 1 Probability 10% 40% 40% 10% 2 RA 16% 7% 12% -8% 10% 18% -5% 9% 4 d. 1) What is the probability that the actualized return on security A will be equal or less than 3% in the coming investment period? ii) What is the probability of actually losing 4% or more on the market portfolio in the coming investment period? e. Calculate the covariance between A and M. f. Calculate the beta of security A (4 decimal places). What is the beta of the market? g. Calculate the correlation coefficient between security, A, and the market. h. Construct a portfolio in which 40% in asset A and 60% in M calculate the expected return and the standard deviation of the portfolio, P. i. Calculate the benefit of diversification of portfolio, P