Investor currently hold-what is portfolios expected return

Assignment Help Financial Management

Reference no: EM13917857

An investor currently holds the following portfolio of 4 stocks, each having equal weight:

Stock Expected Return (rs) Beta

A 14.90% 1.70

B 8.25% 0.75

C 11.40% 1.20

D 6.50% 0.50

a. What is the portfolio’s expected return?

b. What is the portfolio’s beta risk? Is it more or less risky than the market?

Reference no: EM13917857

Questions Cloud

Why is requirement management needed and important : There are commercial requirements management tools, like Telelogic DOORS/ERS. What types of functions do these tools provide and why do we need such things?

Consider two projects with the cash flows : Consider two projects with the following cash flows: Project S is a 4 year project with initial (time 0) cash outflow of 3000 and time 1 through 4 cash inflows of 1500, 1200, 800 and 300 respectively.

Compute the cost of internally generated equity : Given the following, compute the cost of internally generated equity (retained earnings) using the CAPM approach: The par value of the firms outstanding 20 year 8% annual coupon debt is 1,000 and the debt currently has a market value of 800.

Children-advertising, health-advertising : Consider the key persuasive techniques used in consumer advertising. Write a 350-word paper about critical issues that could arise from the following areas:

Investor currently hold-what is portfolios expected return : An investor currently holds the following portfolio of 4 stocks, each having equal weight: What is the portfolio’s expected return? What is the portfolio’s beta risk? Is it more or less risky than the market?

Why the literature review needed piece of research proposal : Why is the literature review a needed piece of a research proposal? How can a weak literature review diminish a research proposal

Assignment on performance management : You are the HR manager for an upscale retail store which sells clothing, shoes, handbags, and other accessories. Due to the economic downturn, the company has experienced a significant reduction in earnings, resulting in the layoff of a number of ..

Treasury bond with a par value-marginal tax bracket : Amila paid $9,600 for a Treasury bond with a par value of $10,000 and a coupon rate of 8.5 percent. Two years later, Amila sold the bond for $9,900. What are her total tax consequences if she is in a 25 percent marginal tax bracket?

Lead a web site development project : A non-profit organization would like you to lead a Web site development proj¬ect for them. The organization has Internet access that includes space on a Web server, but has no experience developing Web pages or Web sites. In addition to creating t..

User Account

All Pages