Standard and Poors also publishes the S&P Equal Weight Index, which is an equally weighted version of

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Standard and Poor’s also publishes the S&P Equal Weight Index, which is an equally weighted version of the S&P 500.
a. To maintain a portfolio that tracks this index, what trades would need to be made in response to daily price changes?
b. Is this index suitable as a market proxy?

Portfolio
A portfolio is a grouping of financial assets such as stocks, bonds, commodities, currencies and cash equivalents, as well as their fund counterparts, including mutual, exchange-traded and closed funds. A portfolio can also consist of non-publicly...
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Corporate Finance

ISBN: 978-0133097894

3rd edition

Authors: Jonathan Berk and Peter DeMarzo

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