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Your portfolio consists of $75,536 invested in a stock that has a beta = 1.2, $85,280 invested in a stock that has a beta
Your portfolio consists of $75,536 invested in a stock that has a beta = 1.2, $85,280 invested in a stock that has a beta = 1.8, and $22,313 invested in a stock that has a beta =1.7. The risk-free rate is 2.6%. Last year this portfolio had a required return of 10.3%. This year nothing has changed except that the market risk premium has increased by 4.1%. What is the portfolio's current required rate of return? O 16.62% 18.12% O 17.62% O 17.12% O 16.12%
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