PORTFOLIO REQUIRED RETURN

Suppose you are the money manager of a $4.14 million investment fund. The fund consists of four stocks with the following investments and betas:

Stock Investment Beta

A $200,000 1.50

B 520,000 (0.50)

C 1,220,000 1.25

D 2,200,000 0.75

If the market's required rate of return is 12% and the risk-free rate is 6%, what is the fund's required rate of return? Do not round intermediate calculations. Round your answer to two decimal places.