Expected return-what is risk premium for your portfolio

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You own a portfolio that has a total value of 103,000 dollars. The portfolio has 5,000 shares of stock A, which is priced at 8.3 dollars per share and has an expected return of 8.25 percent. The portfolio also has 20,000 shares of stock B, which has an expected return of 19.14 percent. The risk-free return is 3.51 percent and inflation is expected to be 1.64 percent. What is the risk premium for your portfolio?

Reference no: EM131078013

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