Question 14 0/1 point A Market-neutral portfolio is designed to provide significant alpha but no beta...
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Question 14 0/1 point A "Market-neutral" portfolio is designed to provide significant alpha but no beta (B = 0). You want to build a market neutral position with two stocks: Duke Energy Corp. (DUK) and Weyerhauser Lumber Co. (WY). The Beta for DUK is 1.50 and the Beta for WY is 0.45. What is the portfolio weight on Duke Energy? Enter your answer in decimal form rounded to 2 decimal places. For example, if half of the portfolio is in DUK, then the portfolio weight is 0.50. Answer: 0.42 Question 14 0/1 point A "Market-neutral" portfolio is designed to provide significant alpha but no beta (B = 0). You want to build a market neutral position with two stocks: Duke Energy Corp. (DUK) and Weyerhauser Lumber Co. (WY). The Beta for DUK is 1.50 and the Beta for WY is 0.45. What is the portfolio weight on Duke Energy? Enter your answer in decimal form rounded to 2 decimal places. For example, if half of the portfolio is in DUK, then the portfolio weight is 0.50. Answer: 0.42
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