2. Market-value-weighted Index and Tracking Portfolio many shares of Stock 1 should you buy? Round your answer to the nearest whole number. Assume that you wish to invest $5,000 in the following two stocks and create a market-value-weighted portfolio. How # of Outstanding Shares Current Stock Price Stock 1 15,000 $40 3. Market-value-weighted Index and Tracking Portfolio Stock A B C Price On 3/18/24 $10 $40 $200 Stock 2 20,000 $20 Price On 6/18/24 Outstanding Shares (mil) On 3/18/24 Outstanding Shares (mil) On 6/18/24 $11 400 48 100 150 10 400 100 10 None of the stocks pay dividends. a. $5,000: On 3/18/2024, as a young asset manager, you were asked by a client to create a portfolio to track the said three- stock value-weighted index. You did exactly as ask and created this tracking portfolio with an initial investment of (1). First, calculate the market-value proportions of these three stocks: (2). Next, find the number of shares that you need to purchase of each of the stocks: b. On 6/18/2024, what is the 3-month holding period return on the portfolio? Page 2 of 4 3