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equity portfolio that has: - a market value of the portfolio: $75 million - beta: 1.5 British pounds: - short position - $15 million pounds
equity portfolio that has:
- a market value of the portfolio: $75 million
- beta: 1.5
British pounds:
- short position
- $15 million pounds
Brazilian real:
- long position
- $60 million real
1. Compute the dollar value of the financial institutions holdings of pounds and of reals. (Use British pound exchange rate: 1.3113 and Brazilian real exchange rate: 4.1671 as the current price.)
2. Compute the total dollar value of the financial institutions portfolio of debt equity and foreign currency.
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