Consider the following information and then calculate the required rate of return for the Global Equity Fund, which includes 4 stocks in the portfolio.  The market's required rate of return is 16.00%, the risk-free rate is 5.25%, and the Fund's assets are as follows: Round your answer to two decimal places. For example, if your answer is $345.6671 round as 345.67 and if your answer is .05718 or 5.7182% round as 5.72.   Stock Investment Beta A    $205,000 1.45 B $375,000 0.85 C     $555,000 –0.45 D $1,130,000 2.08

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
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Chapter1: Investments: Background And Issues
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Consider the following information and then calculate the required rate of return for the Global Equity Fund, which includes 4 stocks in the portfolio.  The market's required rate of return is 16.00%, the risk-free rate is 5.25%, and the Fund's assets are as follows:

Round your answer to two decimal places. For example, if your answer is $345.6671 round as 345.67 and if your answer is .05718 or 5.7182% round as 5.72.

 
Stock
Investment
Beta
A
   $205,000
1.45
B
$375,000
0.85
C
    $555,000
–0.45
D
$1,130,000
2.08
     
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