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8.2 Suppose you are managing a $4 million investment fund. The fund's portfolio consists of four stocks with the following investments and betas: Stock $200,000
8.2 Suppose you are managing a $4 million investment fund. The fund's portfolio consists of four stocks with the following investments and betas: Stock $200,000 400,000 1,400,000 2,000,000 InvestmentBeta 1.2 -0.6 1.5 0.5 a. Calculate the portfolio weight for each individual stock. b. Calculate the portfolio beta. C. If the market's required rate of return is 7% and the risk-free rate is 2%, what is the fund's required rate of return
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