HW-314 Finance 3 questions

1. Karens portfolio, which has a beta of 1.10 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 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 portfolios beta equal 1.10, how much of Karens portfolio is invested in the technology fund?


2. Jerry's portfolio is invested equally in 5 stocks (Each stock has a weight of .20) and has a required return of 9.4%. The risk free rate is 5% and the market risk premium is 4 %. What is the portfolios beta? Assume that jerry's portfolio is on the SML


3. The last stock added to this portfolio was Lauren Clothin, which has a beta of 0.30. What was the portfolios beta before Laurens stock was added?


Answer will be sent by email. It may take few hours to send the asnwer. You may email us if you have any query..