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Assume the betas for securities A, B, and C are as shown here. (Click on the icon located on the top-right corner of the data
Assume the betas for securities A, B, and C are as shown here. (Click on the icon located on the top-right corner of the data table below in order to copy its contents into a spreadsheet.) Security Beta 1.63 0.62 -0.15 If you have a portfolio with $10,000 invested in each of Investment A, B, and C, what is your portfolio beta? Using the portfolio beta and assuming a risk-free rate of 4%, what would you expect the return of your portfolio to be if the market earned 21.8% next year? Declined 19.4%? The beta of your portfolio is .700. (Round to three decimal places.) The return of your portfolio to be if the market earned 21.8% is 16.46 %. (Round to two decimal places and enter as a negative number if the return decreased.) If the market earned 21.8%, the value of your portfolio is $11646. (Round to the nearest dollar.)
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