An investor has $100,000 to invest. If she invests 40% in Stock A, 30% in Stock B, and the remainder in a market index exchange-traded fund (ETF), calculate the investor's portfolio beta. Beta Stock A 0.75 Stock B 1.4 O a. 1.09 O b. 1.02 O c, 0.65 O d. 1.00

An investor has $100,000 to invest. If she invests 40% in Stock A, 30% in Stock B, and the remainder in a market index exchange-traded fund (ETF), calculate the investor's portfolio beta. Beta Stock A 0.75 Stock B 1.4 O a. 1.09 O b. 1.02 O c, 0.65 O d. 1.00

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Question

An investor has $100,000 to invest. If she invests 40% in Stock A, 30% in Stock B, and the remainder in a market index exchange-traded fund (ETF), calculate the
investor's portfolio beta.
Beta
Stock A 0.75
Stock B 1.4
O a. 1.09
O b. 1.02
O c. 0.65
O d. 1.00

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