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Attempts Keep the Highest / 10 7. Problem 8.17 (Portfolio Beta) CE eBook Problem Walk-Through...

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Attempts Keep the Highest / 10 7. Problem 8.17 (Portfolio Beta) CE eBook Problem Walk-Through A mutual fund manager has a $20 million portfolio with a bota of 1.2. The risk-free rate is 5.5%, and the market risk premium is 9%. The manager expects to receive an additional $5 million, which she plans to invest in a number of stocks. After investing the additional funds, she wants the fund's required return to be 19%. What should be the average beta of the new stocks added to the portfolio? Negative value, if any, should be indicated by a minus sign. Do not round Intermediate calculations. Round your answer to one decimal place Grade it Now Save & Continue Continue without saving

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