Find out cumulative return of portfolio

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At the beginning of 2018, you had $5000 to invest. You picked two stocks to trade. Average Joe's Gymnasium was trading at $20 per share, and Banner and Rogers Corporation at $40 per share. You bought 200 shares of AJG and short sold 50 shares of BRC. You invested any remaining money in a risk free asset with a constant annual return of 3%. Over the following three years (2018, 2019, 2020), AJG earned annual returns of 14%, 5%, -8%, respectively, while BRC earned annual returns of -6%, 20%, 5% respectively. What was the cumulative return of your portfolio from start of 2018 to end of 2020?

Reference no: EM132804624

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