You have a portfolio of six stocks. The portfolio weights of each stock and each stock's beta are shown below. A B C 1 Beta Weight 2 Wingbat 1.54 22% 3 Flow Exchange 0.91 16 % 4 Mega Metalurgy 0.54 14% 5 Fly by Cart 1.47 16 % 6 Zip Tripper 1.88 12 % 7 Alphabet Now 1.18 20% What is your portfolio beta?
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- You decide to form a portfolio of the following amounts invested in the following stocks. What is the beta of the portfolio? SET YOUR CALCULATOR TO 4 DECIMAL PLACES THEN INPUT THE ANSWER ROUNDING TO 2 DECIMALS i.e. if your answer is 1.2455, enter it as 1.25. Amount Beta $5,817 1.65 Microsoft $4,128 0.54 $2,818 1.67 $8,782 2.27 Stock Apple Ford Time Warner Expected Return 10.50% 16.90% 15.75% 11.80%If you hold a portfolio made up of the following stocks: Value Beta Stock A $2,000 1.5 Stock B $5,000 1.2 Stock C $3,000 .8 What is the beta of the portfolio? a) 1.17 b) 1.14 c) 1.32 d) need more informationIf you hold a portfolio made up of the following stocks: Investment Value Beta Stock X $4,000 1.5 Stock Y $5,000 1.0 Stock Z $1,000 .5 What is the beta of the portfolio? A. 1.00 B. 1.24 C. 1.33 D. 1.15
- You have a portfolio consisting of four stocks (A, B, C, and D). You invest $2,000 in Stock A, $6,000 in stock B, and $1,000 in stocks C and D. Given the information regarding each stock’s Beta in the table below, compute the portfolio beta. Stock Beta A -0.6 B 1.9 C 1 D 1.2 1.24 0.88 -0.02 1.06You decide to form a portfolio of the following amounts invested in the following stocks. What is the beta of the portfolio? Stock Amount Beta Expected Return Apple $8,000 2.40 10.50% Microsoft $6,000 0.73 16.90% Ford $4,000 1.95 15.75% Time $2,000 1.27 11.80% Warner 1.43 1.88 1.70 1.59 1.05 Only typing answer Please answer explaining in detail step by step without table and graph thankyouA company has asked you to calculate the beta for their portfolio. The portfolio has the following stocks: Stock $ Amount Invested Beta for Each Stock A $ 350,000 1.2 B $ 125,000 .75 C $ 410,000 1.9 D $ 280,000 1.7
- You decide to form a portfolio of the following amounts invested in the following stocks. What is the expected return of the portfolio? SET YOUR CALCULATOR TO 4 DECIMAL PLACES THEN INPUT THE NUMBER AS PERCENTAGE ROUNDING TO 2 DECIMALS. DO NOT ENTER THE % SYMBOL..i.e. if your answer is 7.7711%, enter it as 7.77. Stock Apple Microsoft Ford Time Warner Amount Beta Expected Return $1,125 2.40 10.50% $4,649 0.73 16.90% $9,502 1.95 15.75% $1,831 1.27 11.80%Suppose you invested in the following three stocks and their corresponding Betas are as follows: Stocks Invested amount Beta Pfizer $9,038 1.56 Uber $2,194 0.83 Twitter $9.052 1.37 What is the beta of your portfolio (all investments)? (Round your answer to 2 decimal point)Consider an investment portfolio that consists of three different stocks, with the amount invested in each asset shownbelow. Assume the risk-free rate is 2.5% and the market risk premium is 6%. Use this information to answer thefollowing questions.Stock Weights BetasChesapeake Energy 25% 0.8Sodastream 50% 1.3Pentair 25% 1.0a) Compute the expected return for each stock using the CAPM and assuming that the stocks are all fairly priced.b) Compute the portfolio beta and the expected return on the portfolio.c) Now assume that the portfolio only includes 50% invested in Pentair and 50% invested in Sodastream (i.e., a twoassetportfolio). The yearly-return standard deviation of Pentair is 48% and the yearly-return standard deviation ofSodastream is 60%. The correlation coefficent between Pentair’s returns and Sodastream’s returns is 0.3 What is theexpected yearly-return standard deviation for this portfolio?
- he table below shows the betas and portfolio weights for 3 stocks: The table below shows the betas and portfolio weights for 3 stocks: Portfolio weights Stock Beta Portfolio 1 Portfolio 2 A 1.8 0.3 0.1 B 1.1 0.5 0.4 C 0.5 0.2 0.5 Calculate the beta of each portfolio. What is the beta of portfolio 1? What is the beta of portfolio 2? If you are more concerned about risk than return, which portfolio should you pick? Portfolio 2 PortfolioYou have a portfolio that is invested 19 percent in Stock A, 32 percent in Stock B, and 49 percent in Stock C. The betas of the stocks are .74, 1.29, and 1.48, respectively. What is the beta of the portfolio? 4 O.98 1.28 1.22 1.33 1.10You are trying to decide whether to invest in one or both of two different stocks. The marketrisk premium and risk-free rate are 6 percent and 4 percent respectively.Beta Expected Return(%)Stock 1 beta 0.8 % expected return7.0Stock 2 beta 1.2 %expected return 9.5Use your knowledge of the CAPM and the SML which and determinewhether you should invest in either, one, or both of these stocks. Provide all workings