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The risk-free rate is 3% and the expected return on the market is 11.5%. Stocks 1,2 , and 3 have betas of 0.6,1.5, and 2.2
The risk-free rate is 3% and the expected return on the market is 11.5%. Stocks 1,2 , and 3 have betas of 0.6,1.5, and 2.2 respectively, and you invest $2,000 in #1,$4,000 in #2 and $6,000 in #3. What is the expected return on your portfolio? 15.75% 21.7% 18.11% 17.45% 11.55%
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