covarian in Treynor Black

Hi, Can you please confirm that the beta of the passive portfolio M is 1 while that of the active portfolio is the weighted average of the betas of the individual stocks? Thanks

if by portfolio M you mean market portfolio…then by definition it will have a beta of 1 against itself…

I think you are right wonder

there is concept checker at the at end of Treynor Black from Schweser calculating the covariance if you would like to have a look at it.

which one is it ?