Explore Westonci.ca, the leading Q&A site where experts provide accurate and helpful answers to all your questions. Get detailed and accurate answers to your questions from a community of experts on our comprehensive Q&A platform. Experience the convenience of finding accurate answers to your questions from knowledgeable experts on our platform.
Sagot :
Paul has 2 stocks whose portfolio required rate of return is based on the value of $100,000. The correct answer for the portfolio given is 14% rate of return.
What is a Portfolio?
A Portfolio is a combination of financial investments.
These investments include various financial instruments such as bonds, stocks, cash or cash equivalents, commodities, futures, swaps, options and other derivatives.
People hire portfolio experts to manage their portfolio on their behalf because they have more knowledge than the owner of that portfolio.
These portfolio managers often charges some fees from their clients for the services they render them.
Investment portfolio are prepared by keeping in view their risk appetite of the clients.
Some clients are risk averse who can accept lesser returns while some clients are risk takers who wants more returns and are ready to accept more risk.
In the given question there are two stocks which has total value of $100,000.
The returns are :
Portfolio A $40,000 , Ra is 20%
Portfolio B $60,000, Rb is 10%
Learn more about portfolio at https://brainly.com/question/27184437
#SPJ1
Your visit means a lot to us. Don't hesitate to return for more reliable answers to any questions you may have. We appreciate your time. Please revisit us for more reliable answers to any questions you may have. Keep exploring Westonci.ca for more insightful answers to your questions. We're here to help.
