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What rate of return should investors require

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Reference no: EM133157560

Question - Assume that you are the portfolio manager of the Delaware Fund, a $4 million mutual fund that contains the following stocks:

Stock

Amount

Beta

A

$400,000

1.50

B

$600,000

0.50

C

$1,000,000

1.25

D

$2,000,000

0.75

The required rate of return in the market is 14.00%, and the risk-free rate is 6.00%. What rate of return should investors require on their investment in this fund?

Reference no: EM133157560

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