Portfolio Return

Question

At the beginning of the month, you owned $5,500 of General Dynamics, $7,500 of Starbucks, and $8,000 of Nike. The monthly returns for General Dynamics, Starbucks, and Nike were 7.44 percent, –1.36 percent, and –0.54 percent. What is your portfolio return?

Answer 1

For each of the companies owned, you will just need to multiply the total $ value owned for each company by the return for that month! See below:

1. General Dynamics $5,500 x .0744 = $409.20
2. Starbucks $7,500 x (.0136) = $(102.00)
3. Nike $8,000 x (.0054) = $(43.20)

Total = $264

Feel free to reach out with any more questions!

-Todd