Give typing answer with explanation and conclusion Exactly one year ago, an investor made an investment in investment in Braodcom (AVGO). At that time, the current risk-free rate was 0.69%, the beta for AVGO was 1.35, and the market risk premium was estimated at 6.2%. Over the year, the realized return for AVGO was 7.11%. What was the risk-adjusted return (alpha) for AVGO over the year?
Give typing answer with explanation and conclusion Exactly one year ago, an investor made an investment in investment in Braodcom (AVGO). At that time, the current risk-free rate was 0.69%, the beta for AVGO was 1.35, and the market risk premium was estimated at 6.2%. Over the year, the realized return for AVGO was 7.11%. What was the risk-adjusted return (alpha) for AVGO over the year?
Pfin (with Mindtap, 1 Term Printed Access Card) (mindtap Course List)
7th Edition
ISBN:9780357033609
Author:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk
Publisher:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk
Chapter12: Investing In Stocks And Bonds
Section: Chapter Questions
Problem 1FPE: What makes for a good investment? Use the approximate yield formula or a financial calculator to...
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Give typing answer with explanation and conclusion
Exactly one year ago, an investor made an investment in investment in Braodcom (AVGO). At that time, the current risk-free rate was 0.69%, the beta for AVGO was 1.35, and the market risk premium was estimated at 6.2%. Over the year, the realized return for AVGO was 7.11%. What was the risk-adjusted return (alpha) for AVGO over the year?
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