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Two stocks have equal book assets and equal market value. Their share price is also equal, $10. You invest $2000 in the two stocks proportional
Two stocks have equal book assets and equal market value. Their share price is also equal, $10. You invest $2000 in the two stocks proportional to their assets. A year later, after stock A realizes capital gains of 100% and B 0%, youll need to rebalance your portfolio. What change do you have to do for stock A, provided that book assets did not change?
Sell 25 shares | ||
Buy 25 shares | ||
Buy 50 shares | ||
Sell 50 shares |
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