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An investor creates a three stock portfolio. Information on how he made the investment is provided below: STOCK ALPHA BETA CHARLIE SHARE # of SHARES

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An investor creates a three stock portfolio. Information on how he made the investment is provided below: STOCK ALPHA BETA CHARLIE SHARE # of SHARES BETA PRICE $100 50 1.4 $80 50 0.8 $100 10 1.2 The current risk free rate is 2%, while the market portfolio risk premium is 6%. Find the expected return of this portfolio in one year if the portfolio earns its required return over the year

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