4. In your portfolio you have invested 40% and 60% in Stock A and Stock...

80.2K

Verified Solution

Question

Finance

image
4. In your portfolio you have invested 40% and 60% in Stock A and Stock B, respectively. The beta for A is 1.55. The beta for B is 1.24. Calculate the beta of the portfolio Consider the following table. Company A Standard Deviation 7% Mean Return 12% Beta 1.2 Mean risk-free rate is 3%. Company B 8.5% 13% 1.45

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students