Suppose you are the money manager of a $4.13 million investment fund. The fund consists of four stocks with the following investments and betas:
Stock
|
Investment
|
Beta
|
A
|
$460,000
|
1.50
|
B
|
580,000
|
- 0.50
|
C
|
1,140,000
|
1.25
|
D
|
1,950,000
|
0.75
|
If the market's required rate of return is 11% and the risk-free rate is 7%, what is the fund's required rate of return? Do not round intermediate calculations. Round your answer to two decimal places.