Question
Consider a portfolio of three stocks with the following betas: 1 = 0.5, 2 = 1.2, 3 = 1. What is the beta of the
Consider a portfolio of three stocks with the following betas: 1 = 0.5, 2 = 1.2, 3 = 1. What is the beta of the portfolio if you invest 40% in stock 1, 50% in stock 2, and 10% in stock 3?
Group of answer choices
0.90
1.20
0.78
0.40
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Mathematical Control Theory And Finance
Authors: Andrey Sarychev, Albert Shiryaev, Manuel Guerra, Maria Do Rosário Grossinho
2008th Edition
3540695311, 978-3540695318
