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    Portfolio Return

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    Is one of the portfolio's expected return not in line with the fractor model relationship? Which one? Can you construct a combination of the other two portfolios that has the same factor sensitivity as the "out-of-line" portfolio? What is the expected return of that combination? What action would you expect investors to take with respect to these three portfolios?

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    https://brainmass.com/business/finance/portfolio-return-7192

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    This solution calculates portfolio returns based on a one factor model.

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