What will be the new beta of the portfolio

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Question - An investor has portfolio of shares consisting of P2,500 investment in each of twenty different ordinary shares. The portfolio beta is equal to 3.00. The investor decided to sell one of shares that has an average beta, for P2,500 and used all the proceeds to buy different share of a telecom company whose beta is 2.00. What will be the new beta of the portfolio?

Reference no: EM133178365

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