Business
Business, 26.08.2019 21:30, travawnward

The risk-free return and market return are 6% and 17%, respectively. what is the fair return on the portfolio according to capm?

answer
Answers: 1
Show answers

Similar questions

Предмет
Business, 21.06.2019 18:30, siddhi50
Beta coefficients and the capital asset pricing model personal finance problem katherine wilson is wondering how much risk she must undertake to generate an acceptable return on her porfolio. the risk-free return currently is 4%. the return on the overall stock market is 14%. use the capm to calculate how high the beta coefficient of katherine's portfolio would have to be to achieve a portfolio return of 16%.
Answers: 2
continue
Предмет
Business, 22.06.2019 05:10, russboys3
The total value of your portfolio is $10,000: $3,000 of it is invested in stock a and the remainder invested in stock b. stock a has a beta of 0.8; stock b has a beta of 1.2. the risk premium on the market portfolio is 8%; the risk-free rate is 2%. additional information on stocks a and b is provided below. return in each state state probability of state stock a stock b excellent 15% 15% 5% normal 50% 9% 7% poor 35% -15% 10% what are each stock’s expected return and the standard deviation? what are the expected return and the standard deviation of your portfolio? what is the beta of your portfolio? using capm, what is the expected return on the portfolio? given your answer above, would you buy, sell, or hold the portfolio?
Answers: 1
continue
Предмет
Business, 16.07.2019 03:30, funnynunny2903
Consider the following information: portfolio expected return beta risk-free 6 % 0 market 10.2 1.0 a 8.2 1.4 a. calculate the return predicted by capm for a portfolio with a beta of 1.4. (round your answer to 2 decimal places.) b. what is the alpha of portfolio a.
Answers: 3
continue
Предмет
Business, 29.08.2019 22:30, deeknuk
The beta of stock a is 1.5 and the beta of the overall market is 1.0. a portfolio is invested 60% in stock a and 40% in the market. the risk-free return and market return are 6% and 17%, respectively. what is the fair (required) return on the portfolio according to capm? 1.20.3% 2. 15.71% 3.15.71% 4. 25.71%
Answers: 1
continue
Do you know the correct answer?
The risk-free return and market return are 6% and 17%, respectively. what is the fair return on the...

Questions in other subjects:

Konu
History, 16.04.2021 01:00
Who was Horace Mann and what was his significance?...
Konu
Mathematics, 16.04.2021 01:00
Researchers investigated whether providing a fancy, foil-wrapped piece of chocolate with the dinner bill would lead to higher tips than not providing such a treat. Sixty-four dinne...
Konu
History, 16.04.2021 01:00
Who was Ralph Waldo Emerson and what was his significance?...
Konu
Mathematics, 16.04.2021 01:00
Wanda rode her bike 5km the first day and she rode her bike 10,000m the second day. How many meters, in total, did Wanda ride in the two days?...
Konu
Mathematics, 16.04.2021 01:00
What’s the difference between length and dimension? pls provide some examples too....
Konu
Mathematics, 16.04.2021 01:00
Please help I need to do this for homework but I have zero clue what to do. The quarterback should have thrown the ball when the receiver was open about 16 yards down the field. C...
Konu
Mathematics, 16.04.2021 01:00
A(a +5)=0 , how can l solve this problem? ​...
Konu
Chemistry, 16.04.2021 01:00
Materials that do not allow electrons to flow easily are called ....
Konu
Mathematics, 16.04.2021 01:00
Could somebody do this for me ...
Konu
Mathematics, 16.04.2021 01:00
How many solutions are there?2x+5y=710y=4x+14...
Other tasks in the category: Business More task
See results (0)