Question
15. You want to have a portfolio that is exactly twice as risky as the market. You have three stocks in your portfolio, A, B,
15. You want to have a portfolio that is exactly twice as risky as the market. You have three stocks in your portfolio, A, B, and C. You have 25% of your portfolio invested in Stock A. The Betas of Stocks A, B, and C are 1.23, -.04, and 2.45, respectively. What percentage of your portfolio must be made up on Stock C? a. 5.82% b. 30.82% c. 69.18% d. 49.53%
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Financial Markets And Institutions
Authors: Jeff Madura
9th Edition
1439038848, 978-1439038840
