Question
Suppose you are a risk-averse investor. Which of the following two stocks would you choose to hold as part of a well-diversified portfolio if the
Suppose you are a risk-averse investor. Which of the following two stocks would you choose to hold as part of a well-diversified portfolio if the return on the market is 12% and the risk-free rate is 2%
| Stock | Expected return | Beta |
| Super Grocer | 15% | 1.2 |
| Hail A Ride Tech | 26% | 2.5 |
|
Super Grocer | |
|
|
Hail A Ride Tech
|
|
|
I would be indifferent between these 2 stocks.
|
|
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Cannot be determined with the given information.
|
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Consolidation In The European Financial Industry
Authors: R. Bottiglia, E. Gualandri , G. Mazzocco
1st Edition
0230233228,0230275028
