Determining the fund required rate of return

Reference no: EM132046819

Question: Portfolio required return Suppose you are the money manager of a $4.18 million investment fund. The fund consists of four stocks with the following investments and betas: Stock Investment Beta

A $ 420,000 1.50

B 600,000 - 0.50

C 1,060,000 1.25

D 2,100,000 0.75

If the market's required rate of return is 13% and the risk-free rate is 5%, what is the fund's required rate of return? Do not round intermediate calculations. Round your answer to two decimal places. %

Reference no: EM132046819

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