An equal-weighted index is a stock market index - comprised of a group of publicly traded...

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An equal-weighted index is a stock market index - comprised of a group of publicly traded companies that invests an equal amount of money in the stock of each company that makes up the index. (1) Suppose we construct an equal-weighted index using those three stocks, what's the index return will be? (2) Suppose we define the initial level of this equal-weighted index level to be 100, what is the final level of this index? An equal-weighted index is a stock market index - comprised of a group of publicly traded companies that invests an equal amount of money in the stock of each company that makes up the index. (1) Suppose we construct an equal-weighted index using those three stocks, what's the index return will be? (2) Suppose we define the initial level of this equal-weighted index level to be 100, what is the final level of this index?

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1 The return of the equalweighted index will be the ... View the full answer