Question
My 5 companies are the following; A)Hilton Worldwide Holdings Inc. (HLT) B)Hilton Grand Vacations Inc. (HGV) C)Marriott International, Inc. (MAR) D)Marriott Vacations Worldwide Corporation (VAC
My 5 companies are the following;
A)Hilton Worldwide Holdings Inc. (HLT)
B)Hilton Grand Vacations Inc. (HGV)
C)Marriott International, Inc. (MAR)
D)Marriott Vacations Worldwide Corporation (VAC
E)Hyatt Hotels Corporation (H)
BELOW ARE THE QUESTION....
3. Assume you invest an equal dollar amount ($5,000) in each of the 5 companies selected. a. Calculate the Portfolio beta by using the following equation: .20 times (Company 1 beta) + .20 times (Company 2 beta) +.20 times (Company 3 beta) + .20 times (Company 4 beta) +.20 times (Company 5 beta) = Portfolio Beta b. How does the Portfolio Beta for your 5 companies compare to the Market Beta of 1? c. Would you expect the return of your investment of $25,000 to increase, remain the same, or decrease? Why?
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