Security market line (SML) assume that the risk free rate RF, is currently 6% and that the market return RM, is currently 13%
Calculate the market risk premium
Given the previous data, calculate the required return on asset A having a beta of 0.3 and asset B having a beta of 1.5.
The market risk premium is ___%
If the beta of asset A is 0.3 the required return for asset A is ___%
If the beta of asset B is 1.5 the required return for asset B is ___%