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You have a portfolio of the following four shares: Share Beta Investment A 0.80 100,000 B 1.25 100,000 C 1.00 075,000 D 0.60 125,000 What
You have a portfolio of the following four shares:
Share | Beta | Investment |
A | 0.80 | 100,000 |
B | 1.25 | 100,000 |
C | 1.00 | 075,000 |
D | 0.60 | 125,000 |
What is the expected rate of return on your portfolio if the risk-free rate of return is 9 per cent and the expected market rate of return is 16 per cent?
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