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Table 1. Average Return and Beta Stock 1 2 3 4 5 Average annual return 15% 8% 12% 50% 80% Beta 1 1.2 2.5 3

Table 1. Average Return and Beta
Stock 1 2 3 4 5
Average annual return 15% 8% 12% 50% 80%
Beta 1 1.2 2.5 3 3.5
Table 2. Portfolio A information
Stock 1 2 3
Investment (million USD)

If you manage a portfolio worth $100,000,000 and you choose to invest in only stock 1, 2, and 3.

What is the minimum beta for a portfolio with return equal to 13%?

No short sales allowed.

Report the answer with 2 numbers after decimal place, say 1.51

**Please show excel formulas**

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