Beta for stock

Related BrainMass Solutions

• Portofolio's new beta

  Now, suppose you have decided to sell one of the stocks in your portfolio with a beta equal to 1.0 for $7,500, and use these proceeds to buy another stock for your portfolio. Assume the new stock's beta is equal to 1.75.

• What does the beta of the replacement stock have to be to produce a new portfolio of 1.55?

  = 0.1*beta of new stock + 1.44 Beta of new stock = (1.55 - 1.44)/0.1 = 1.1 Thank You This solution contains step-by-step calculations for the beta of the replacement stock.

• Beta for a Portfolio

  The beta weight of the stock will be 1.4X5%=0.07 The new portfolio beta is 1.1-0.045+0.07=1.125 The solution explains how to calculate the beta for a portfolio

• Stocks' Beta

  Please help me calculate each stock's beta based on the information given above.  PLease show your calculations for this question.

• Stock Beta and Required Return on Stock

  using the return for stock A For Stock A risk free rate= r f = 5% beta of stock= beta A= 1 return on market portfolio= r m = required return on stock r A = 11.00% to be determined Plugging in the values r m = 11.% =(11.%-5

• Working with Portfolio Betas

  The portfolio beta is equal to 1.12. Now, suppose you have decided to sell one of the stocks in your portfolio with a beta equal to 1.0 for $7,500 and to use these proceeds to buy another stock for your portfolio.

• Creating a Portfolio Based on Betas

  Investment for stock C = $343,333 and the Risk Free asset is $206,667.

• Calculating stock and portfolio beta

  Please refer attached file for better clarity of tables and formulas.

• BETA Calculation for a Stock Portfolio

  258140 BETA Calculation for a Stock Portfolio My portfolio is invested equally in five stocks (that is, each stock in the portfolio has a weight of 0.20) and has a required return of 9.4%. The risk-free rate is 5% and the market risk premium is 4%.