Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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- Calculate the expected return from the following security using the CAPM
Capital Asset Pricing Model :
Standard Deviation of Security = 0.18
Standard Deviation of Market Portfolio = 0.10
Expected Return on Market Portfolio = 0.09
Correlation between possible Returns for the Security and the Market Portfolio = 0.70.
Expected Risk Free Rate = 0.03
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