Purchase Solution

Portfolio Investment Percentage Questions

Not what you're looking for?

Ask Custom Question

My portfolio which has a beta of 1.14 consists of three mutual funds: an international fund, a utility fund, and a technology fund. The international fund has a beta of 1.5 and makes up to 20% of the portfolio. The utility fund has a beta of 0.5 and the technology fund has a beta of 1.3. If the portfolio's beta equals 1.14, how much of my portfolio is invested in the technology fund?

Please choose 1
A. 50%
B. 30%
C. 70%
D. 40%
E. 50%

Please show work

Thanks

Purchase this Solution

Solution Summary

The solution explains how to calculate the percentage of investment given the portfolio beta

Solution Preview

The portfolio beta is the weighted average of the individual fund beta. What we are given
International fund - weight = 20%, beta = 1.5
Utility ...

Purchase this Solution


Free BrainMass Quizzes
Income Streams

In our ever changing world, developing secondary income streams is becoming more important. This quiz provides a brief overview of income sources.

Team Development Strategies

This quiz will assess your knowledge of team-building processes, learning styles, and leadership methods. Team development is essential to creating and maintaining high performing teams.

Basics of corporate finance

These questions will test you on your knowledge of finance.

MS Word 2010-Tricky Features

These questions are based on features of the previous word versions that were easy to figure out, but now seem more hidden to me.

Paradigms and Frameworks of Management Research

This quiz evaluates your understanding of the paradigm-based and epistimological frameworks of research. It is intended for advanced students.