Question
You have $100,000 to invest in a portfolio containingStock X and Stock Y. Your goal is to make a portfolio that has an expected return
You have $100,000 to invest in a portfolio containingStock X and Stock Y. Your goal is to make a portfolio that has an expected return of 13 percent. If Stock X has an expected return of31 percent and a beta of 1.80, and Stock Y has an expected return of 20 percent and a beta of 1.3 .how much money will you invest in Stocky? How do you interpret your answer? What is the beta of your portfolio?
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Investment Analysis and Portfolio Management
Authors: Frank K. Reilly, Keith C. Brown, Sanford J. Leeds
11th Edition
1305262999, 1305262997, 035726164X, 978-1305262997
