Solved

Assume You Want to Construct a Portfolio with a 14  Security  Expected Return  Beta 116%1.12212.5%0.94\begin{array} { l l l } \text { Security } & \text { Expected Return } & \text { Beta } \\1 & 16 \% & 1.12 \\2 & 12.5 \% & 0.94\end{array}

Question 49

Multiple Choice

Assume you want to construct a portfolio with a 14% return from the following two securities:  Security  Expected Return  Beta 116%1.12212.5%0.94\begin{array} { l l l } \text { Security } & \text { Expected Return } & \text { Beta } \\1 & 16 \% & 1.12 \\2 & 12.5 \% & 0.94\end{array} What percentage of your portfolio should be invested in Security 1?


A) 57%
B) 47%
C) 43%
D) 53%

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions