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Risk and Return

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FM Exams › Risk and Return

  • This topic has 1 reply, 2 voices, and was last updated 14 years ago by John Moffat.
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  • August 25, 2011 at 9:10 am #49537
    chikopo
    Member
    • Topics: 1
    • Replies: 0
    • ☆

    You have $20000 to invest in a stock portfolio. your choices are stock X with an expected return of 20% and Stock Y with an expected return of 12%. If your goal is to create a portfolio with an expected return of 16.8%, how much money will you invest in stock X? in Stock Y

    November 6, 2011 at 3:57 pm #87286
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54796
    • ☆☆☆☆☆

    60% (i.e. $12000) in X and 40% (i.e. 8000) in Y.

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