Which Financial Asset Should You Buy? You have a large, well-diversified investment portfolio, and you have some excess cash to invest that would represent a relative small percentage of your total portfolio. You trusted financial advisor has recommended you invest your excess cash on one of the following two financial assets, which we will dub "Asset A" and Asset B". She has provided the following information about them. Asset A is a high-yield bond issued by shale Oil Entrepreneurs, Inc. (SOEI); it has an Expected Return of 15%, a beta of 1.2 and a Market Risk Premium of 7%. Asset B is the common stock of a new, but well-regarded iPhone App developer; it has an Expected Return of 13%, a beta of 1.6 and a Market Risk Premium of 6%. The Risk-Free Rate is 2%. What is the Required Return Of Asset A? What is the Required Return of Asset B? Which Financial Asset should you buy, "Asset A" or "Asset B"? Please be SURE to enter exactly either "Asset A" or "Asset B