Determine the minimum expected annual returns


Question: In order to fund her retirement, Glenda requires a portfolio with an expected return of twelve percent per year over the next thirty years. She has decided to invest in Stock 1,2, & 3, with 25% in Stock 1,50% in Stock 2, & 25% in Stock3. If Stocks 1 & 2 have expected returns of 9% and 10% per year, respectively, then determine the minimum expected annual returns for stocks 3 will enable Glenda to achieve her investment requirement?

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Finance Basics: Determine the minimum expected annual returns
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