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You are a portfolio manager for Big Bucks Wealth Management Pty Ltd. You would like to construct a share price index to track the performance

You are a portfolio manager for Big Bucks Wealth Management Pty Ltd.  You would like to construct a share price index to track the performance of four stocks in which your fund is considering making a substantial investment.  The following table shows the price of each stock at the beginning of the period and the total market capitalisation of each stock in the market.
 

 

Stock
 

Share price
 
Market Capitalisation
 

Alpha
 

$18.93
 

$150m
 

Beta
 

$16.13
 

$122m
 

Gamma
 

$10.8
 

$119m
 

Delta
 

$11.95
 

$135m
 


 Suppose you decide you want to construct an index that will never need rebalancing.  What will be the weighting of Stock Delta in the index?
 

a.20.67%

b.25.67%

c.25.00%

d.24.16%

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