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Examveda

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%.

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