What is the expected return of a stock that has a variance of 0.188814 and...

60.1K

Verified Solution

Question

Finance

What is the expected return of a stock that has a variance of 0.188814 and a correlation with the market of 0.73, when the market has a variance of 0.049803, when the risk free rate is 3.65% and the equity risk premium is 11.75%?

20.35%
15.16%
10.91%
There is insufficient information to answer the question

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