if the fund manager’s required rate of return is 13.60% whereas the CAPM cost of equity for a stock is only 12.95% shouldnt the manager invest in the stock since the stock is undervalued?
and since it is also considered as the min. expected rate of return that a company must offer its investors to purchase its shares, shouldn’t the manager invest it in since the rate he can offer his investors are much lower than his required rate of return? |
发表于 2013-4-29 10:44
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