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What is the required return on the portfolio

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Reference no: EM132535472

Stock Proportion in the portfolio Beta Gazprom 0.25 1.4 Shell

0.3

1.6

Exxon Mobil

0.3

1.5

CNOOC

0.15

1.8

a) Determine the portfolio beta

b) If the risk free rate is 9% and required rate is 18%, what is the required return on the portfolio?

c) If you sell all the investment in Shell and purchase an equivalent amount in CNOOC, what will be the beta of restructured portfolio?

Reference no: EM132535472

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