Question 9
You invest 80% of your money in a security with a beta of 1.5, and the rest of your money in a risk-free security. What is the beta of your resulting portfolio?
0.80
1.20
1.50
Insufficient information
You invest 80% of your money in a security with a beta of 1.5, and the rest of your money in a risk-free security. What is the beta of your resulting portfolio?
0.80
1.20
1.50
Insufficient information
Correct answer
1.20
Question 9 of 30 in the IIT Madras BS Corporate Finance (Corporate Finance) End Term paper sat on 21 Dec 2025, in the September 2025 term (Corporate Finance 18 Dec 25). It carries 3 marks.