Question: The multidimensional SML predicts that the contribution of each source of risk to a security s total risk premium equals the factor Blank _ _

The multidimensional SML predicts that the contribution of each source of risk to a securitys total risk premium equals the factor Blank______ times the Blank______ of the factor portfolio tracking that source of risk.
Multiple choice question.
variance; risk premium
variance; expected return
beta; risk premium
beta; expected return

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