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You want to construct a stock portfolio with four stocks shown below. Additional necessary information is as below. STOCK $ INVESTED ON EACH STOCK BETA
You want to construct a stock portfolio with four stocks shown below. Additional necessary information is as below.
STOCK | $ INVESTED ON EACH STOCK | BETA |
W | $30,000 | 0.76 |
X | $10,000 | 1.31 |
Y | $4,000 | 1.49 |
Z | $6,000 | 0.45 |
Hint: First of all, you need to find the weight for each stock (i.e. how much is invested for each stock in %?)
The weight on the stock Y is ??
The Beta of your portfolio is ??
Round up your answer to TWO decimals.
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