Question: There are two stocks A and B both with beta 1.3. The market return is 11% and the risk free rate is 1%. Stock A

There are two stocks A and B both with beta 1.3. The market return is 11% and the risk free rate is 1%. Stock A has historic average return of 15% and stock Bhas historic average return of 13.5%. What option below lets you take the best advantage of the situation? Invest in stock B to minimize risk. Invest in Stock B and short Stock A. Invest in A and short stock B. Invest in stock A to get the highest return Invest in both A and B to diversity

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