Question
Through Suppose you are the money manager of a $4.54 million investment fund. Stock Investment Beta A $ 420,000 1.50 B 800,000 (0.50 ) C
Through Suppose you are the money manager of a $4.54 million investment fund.
| Stock | Investment | Beta | ||
| A | $ 420,000 | 1.50 | ||
| B | 800,000 | (0.50 | ) | |
| C | 1,120,000 | 1.25 | ||
| D | 2,200,000 | 0.75 | ||
If the market's required rate of return is 11% 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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The Fiscal Impact Handbook
Authors: David Listokin
1st Edition
1138535672, 978-1138535671
