Joel Foster Is the Portfolio Manager of the SF Fund,a

question 12

Multiple Choice

Joel Foster is the portfolio manager of the SF Fund,a $3 million hedge fund that contains the following stocks.The required rate of return on the market is 11.00% and the risk-free rate is 5.00%.What rate of return should investors expect (and require) on this fund? $$\begin{array} { c c c } \text { Stack } & \text { Amaunt } & \underline { \text { Beta } } \\\text { A } & \$ 1,075,000 & 1.20 \\\text { B } & 675,000 & 0.50 \\\text { C } & 750,000 & 1.40 \\\text { D } & { 500,000 } & 0.75\end{array}$$
                                                         $\$ 3,000,000$

• A) 10.56%
• B) 10.83%
• C) 11.11%
• D) 11.38%
• E) 11.67%

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Definitions:

Statute Of Frauds

A legal concept that requires certain types of contracts to be executed in writing and signed by all parties to be legally enforceable.

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A series of travel stops across different countries or continents, often performed by artists, athletes, or public figures.

Statute Of Frauds

a rule of law mandating that specific agreements must be documented in writing and signed by the individual being held accountable for them to be valid.