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What is the risk premium (or Excess Return) for a stock that has a market beta of 0.51, a size beta (beta for SMB factor)
What is the risk premium (or Excess Return) for a stock that has a market beta of 0.51, a size beta (beta for SMB factor) of 0.04 and a value beta (beta for HML factor) of 0.76? The Market Risk premium is 4.52%, the SMB factor is 6.91% and the HML factor is 5.02% and the risk-free rate is 3%. Use the Fama-French 3 factor model.
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