What will the beta of your portfolio be

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Assume that the CAPM holds, the BB T-bill rate is 3%, and the DSEX index return is 10%. Stock BSRM has an expected return of 10%. Stock KSRM has a beta of 1.2 and a standard deviation of 0.4. Stock ACI has twice as much exposure to systematic risk as stock KSRM. If you put 30% of your money in BSRM, 40% in KSRM and 30% in ACI, what will the beta of your portfolio be?

Reference no: EM132535108

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