Question: The Beta Bear Plus Fund is constructed so that its average return is equal to two times ( 2 0 0 % ) the inverse
The Beta Bear Plus Fund is constructed so that its average return is equal to two times the inverse opposite of the average return on the market index. In other words, Ekp x EkM Where Ekp is the expected return on the fund. This fund is designed for investors who want to make money when the market falls. If the riskfree return is and the expected return on the market is then what is the beta of this fund?
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