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(6-10) Portfolio Required Return Suppose you manage a $4 million fund that consists of four stocks with the following investments: Stock A B C D
(6-10) Portfolio Required Return Suppose you manage a $4 million fund that consists of four stocks with the following investments: Stock A B C D Investment $ 400,000 600,000 1,000,000 2,000,000 Beta 1.50 -0.50 1.25 0.75 If the market's required rate of return is 14% and the risk-free rate is 6%, what is the fund's required rate of return?
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