Question
The risk-free rate is 2% and the expected market return is 12%. A portfolio consists of three stocks with information below: Stock A Stock B
The risk-free rate is 2% and the expected market return is 12%. A portfolio consists of three stocks with information below:
|
| Stock A | Stock B | Stock C |
| Weight | 30% | 40% | 30% |
| Beta | 1.5 | 2 | -0.5 |
What is the portfolios expected return?
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Bakers Health Care Finance Basic Tools For Nonfinancial Managers
Authors: Thomas K. Ross
6th Edition
1284233162, 978-1284233162
