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Question7 The Amelia Knight investment fund has a total capital of R120 000 invested in three shares: Shares Return Invested Technological Sector25%R60 000Education Sector13%R30 000Mining
Question7
The Amelia Knight investment fund has a total capital of R120 000 invested in three shares:
SharesReturnInvestedTechnological Sector25%R60 000Education Sector13%R30 000Mining Sector20%R30 000The current risk-free rate is 5,5%. Market returns have the following estimated probability distribution for the next period:
ProbabilityMarket return0,310%0,1 14%0,2 15%0,4 18%What is the beta coefficient of the investment fund?
1. 0,52
2. 0,80
3. 1,82
4. 4,92
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