You Currently Own a Stock Portfolio That Has a Beta

question 22

Multiple Choice

You currently own a stock portfolio that has a beta of 1.2.If you fully hedge your stock portfolio you will effectively change the portfolio's beta to which one of the following?

• A) 0
• B) 1
• C) 1 / 1.2
• D) 1.2
• E) 1.2²

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Definitions:

Subcultures

Groups within a larger culture that have their own distinct values, norms, and practices, often distinguishing themselves from the mainstream.

Gender Differences

The distinctions in behaviors, roles, expectations, and activities culturally assigned to men and women.

Sports

Competitive physical activities or games that adhere to rules and involve skill, strength, or luck.

Sports

Physical sports or games that involve competition, aiming to enhance or maintain physical skills and abilities, with the added benefit of enjoyment for those who take part, either casually or in an organized manner.