Portfolio Required Return Suppose you manage a $6 million fund that consists of four stocks with...

Portfolio Required Return

Suppose you manage a $6 million fund that consists of four stocks with the following investments:

Stock	Investment	Beta
A	$600,000	1.50
B	1,500,000	-0.50
C	2,100,000	1.25
D	1,800,000	0.75

If the market's required rate of return is 17% and the risk-free rate is 7%, what is the fund's required rate of return? Do not round intermediate calculations.

Expert Solution

jeff jeffy answered 7 months ago

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