Question: The Beta Bear Plus ETF Exchange Traded Fund) is constructed so that its average ret m is equal to two t es C200% the additi

 The Beta Bear Plus ETF Exchange Traded Fund) is constructed so
that its average ret m is equal to two t es C200%
the additi e inverse (opposite) of the average retum on the market

The Beta Bear Plus ETF Exchange Traded Fund) is constructed so that its average ret m is equal to two t es C200% the additi e inverse (opposite) of the average retum on the market index. In other words, E %).-2xE(kM where kp is the return on the fund and kMsthe retum on the market po to This ETF s designed for investors who want to make money when the market falls f the risk-free return is 2.70% and the expect d retum on the market is 9.90%, then what is the beta of this fund? The beta of the Beta Bear Plus ETF is (Round to two decimal places.)

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!