An investor has $1000 initial wealth for investment and he borrows another $500 at the risk free rate. He then invest the entire total amount of $1500 in the market portfolio. What is his portfolio beta? +2.0 -1.0 + 1.50

You have a portfolio with a beta of 1.29. What will be the new portfolio beta if you keep 94 percent of your money in the old portfolio and 6 percent in a stock with a beta of 0.32? (Round your answer to 2 decimal places.)     New portfolio beta   %

You currently have $100,000 invested in a portfolio that has an expected return of 10% and a volatility of 10%. Suppose the risk-free rate is 5% , and there is another portfolio has an expected return of 24% and a volatility of 13%. a. What portfollo has a higherhigher expected return than your portfollo but with the same volatility? The portfolio should be composed of $ in the other portfolio, and $_____ in the risk-free investment (round to the nearest dollar). What is your expected return? % b. What portfolio has a lowerlower volatility than your portfollo but with the same expected return? You should invest $_____ in the other portfolio and $_______ in the risk-free investment, lowering your volitility to %.

Assume that an investor has formed a portfolio of two assets; Asset A and Asset B. if he invested 30% of his wealth in asset A. If the return on asset A is 20% and the return on asset B is 40%, the weight of the wealth invested in asset B is? What is the portfolio return?

This question will be sent to you You still have $14,000 invested in TGT and $8,000 invested in JCP. If the beta of TGT is 0.65 and the portfolio beta is 1, what is the beta of JCP?

After learning the course, you divide your portfolio into three equal parts (i.e., equal market value weights), with one part in Treasury bills, one part in a market index, and one part in a mutual fund with beta of 0.8. What is the beta of your overall portfolio?

You have been managing a $5 million portfolio that has a beta of 1.2 and a required rate of return of 12%. The risk- free rate is 6% You now receive another 1 million and invest in stocks with an average beta of 0.50. What will be the required rate of return on your new portfolio?

You invest $1000 in a portfolio.  Your portfolio is composed of a risky asset with an expected rate of return of 12% and a standard deviation of 10% and a treasury bill with a rate of return of 5%. __________ of your portfolio should be invested in the risk-free asset if you want your portfolio to have a standard deviation of 9%.   A)  100%   B)  90%   C)  50%   D)  10%

An investor is forming a portfolio by investing $8,000 in stock A which has a beta of 0.80, and $8,000 in stock B which has a beta of 2.20. The return on the market is equal to 8% and treasure bonds have a yield of 3% (rRF). What’s the portfolio beta?     0.80     1.50     1.90     2.20

You invest in a portfolio of 5 stocks with an equal investment in each one. The betas of the 5 stocks are as follows: 0.8, -1.3, 0.95, 1.2, and 1.4. The risk-free return is 3% and the market return is 7%. a. Compute the beta of the portfolio. b. Compute the required return of the portfolio.