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ANSWER BOTH QUESTIONS 1) The market risk premium for the next period is 5.60% and the risk free rate is 3.10%. Stock Z has a
ANSWER BOTH QUESTIONS
1) The market risk premium for the next period is 5.60% and the risk free rate is 3.10%. Stock Z has a beta of 1.311 and an expected return of 12.50%. What is the
a) markets reward to risk ratio
b) stock Z reward to risk ratio
2) you are invested 18.80% in growth stocks with a beta of 1.915, 28.50% in value stocks with a beta of 0.760, and 52.70% in the market portfolio. What is the beta of your portfolio?
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