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Suppose you are the money manager of a $3.74 million investment fund. The fund consists of 4 stocks with the following investments and betas: Stock

Suppose you are the money manager of a $3.74 million investment fund. The fund consists of 4 stocks with the following investments and betas:

Stock Investment Beta
A $ 380,000 1.50
B 360,000 - 0.50
C 900,000 1.25
D 2,100,000 0.75

If the market's required rate of return is 9% and the risk-free rate is 7%, what is the fund's required rate of return? Round your answer to two decimal places.

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