Portfolio return and beta Personal Finance Problem Jamie Peters invested 5109.000 to set up the following portfolio one year ago a. Calculate the portfolio beta on the basis of the original cost figures b. Calculate the percentage return of each asset in the portfolio for the year C. Calculate the percentage return of the portfolio on the basis of original cost using income and gains during the year d. At the time Jamie made his investments investors were estimating that the market return for the coming year would be 10%. The estimate of the risk free rate of return averaged for the coming year Calculate an expected rate of return for each stock on the basis of its beta and the expectations of market and risk free returns e. On the basis of the actual results, each stock in the portfolio performed differently relative to the CAPM-generated expectations of performance What factors could explain these differences? a. The portfolio bota on the basis of the original cost figures is (Round to two decimal places) b. The percentage return for asset for the year is % (Round to two decimal places) The percentage return for asset for the year is % (Round to two decimal places) The percentage return for asset for the year is Round to two decimal places The percentage return for set for the year is % (Round to two decimal places) c. The percentage return of the portfolio on the basis of original cost using income and gains during the year is Is (Round to two decimal place) d. At the time Jamie made his investments investors were estimating that the market return for the coming year would be 10% and theme of the risk of return varapods for the coming year Click to select your answers al cost figures . Data Table rag he we st pa in th gul (Click on the icon located on the top-right corner of the data table below in order to copy its contents into a spreadsheet.) 19 Asset B D Cost $26.000 $38.000 $30,000 $15.000 Beta at purchase 0.81 0.91 1.51 1.35 Yearly income $1,000 $1,300 SO $275 Value today $26.000 $39.000 $36,500 $15.500 Print Done s of Es were estimating that the market return for the coming year would be 10% and the estimate of the risk-free rate of return avera