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

---

Definitions:

Weekly Meeting

A scheduled gathering that occurs once a week, often used by teams or organizations to review progress, set goals, and facilitate communication.

Opportunistic Leadership

A style of leadership where the leader takes advantage of opportunities as they arise, often dynamically adapting strategies to benefit from situational changes.

Personal Advantage

Benefits or gains attained by an individual that enhance their position or status relative to others.

Ruthless

An adjective describing actions or attitudes of harshness or lack of compassion, especially in pursuit of objectives.