Question
PORTFOLIO REQUIRED RETURN Suppose you are the money manager of a $4.93 million investment fund. The fund consists of four stocks with the following investments
PORTFOLIO REQUIRED RETURN
Suppose you are the money manager of a $4.93 million investment fund. The fund consists of four stocks with the following investments and betas:
| Stock | Investment | Beta |
| A | $ 400,000 | 1.50 |
| B | 560,000 | (0.50) |
| C | 1,020,000 | 1.25 |
| D | 2,950,000 | 0.75 |
If the market's required rate of return is 11% and the risk-free rate is 4%, what is the fund's required rate of return? Do not round intermediate calculations. Round your answer to two decimal places. %
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The Complete Guide To Investing In Commodity Trading And Futures How To Earn High Rates Of Returns Safely
Authors: Mary P Holihan
1st Edition
1601380038, 978-1601380036
