Invest in portfolio containing stock-beta of portfolio

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You have $100,000 to invest in a portfolio containing Stock X and Stock Y. Your goal is to create a portfolio that has an expected return of 17 percent. Stock X has an expected return of 14.8 percent and a beta of 1.35, and Stock Y has an expected return of 11.2 percent and a beta of 0.90. (a) How much money will you invest in stock Y? (b) What is the beta of your portfolio?

Reference no: EM13914765

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Invest in portfolio containing stock-beta of portfolio : You have $100,000 to invest in a portfolio containing Stock X and Stock Y. Your goal is to create a portfolio that has an expected return of 17 percent. Stock X has an expected return of 14.8 percent and a beta of 1.35, and Stock Y has an expected re..
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