High portfolio return is 6.5% and low portfolio return is 3.0% then HML portfolio will be
A. 2.16%
B. 9.50%
C. 3.50%
D. 0.4615 times
Answer: Option C
Solution (By Examveda Team)
HML Portfolio = High portfolio return - Low portfolio return= 6.5% - 3.00% = 3.5%.

Join The Discussion