Question
Suppose you manage a $4.365 million fund that consists of four stocks with the following investments: Stock Investment Beta A $460,000 1.50 B 725,000 -0.50
Suppose you manage a $4.365 million fund that consists of four stocks with the following investments:
| Stock | Investment | Beta | |
| A | $460,000 | 1.50 | |
| B | 725,000 | -0.50 | |
| C | 1,380,000 | 1.25 | |
| D | 1,800,000 | 0.75 | |
If the market's required rate of return is 13% and the risk-free rate is 5%, what is the fund's required rate of return? Do not round intermediate calculations. Round your answer to two decimal places.
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Sustainable Finance And Impact Investing
Authors: Alan S. Gutterman
1st Edition
1637423764, 978-1637423769
