Answered You can buy a ready-made answer or pick a professional tutor to order an original one.

QUESTION

In a three- to five-page paper (excluding the title page and references page), analyze your portfolio's beta and provide an actual calculation (showing the math) of your portfolio’s beta. For the se

In a three- to five-page paper (excluding the title page and references page), analyze your portfolio's beta and provide an actual calculation (showing the math) of your portfolio’s beta. For the second half of the paper, explain and interpret the portfolio’s beta using the following scenarios.

  1. The Standard & Poor’s Corporation (S&P) experiences a 10% decline from today’s value;
  2. The S&P experiences a 20% increase from today’s value.

Would you consider your portfolio to be a bull or a bear in the above scenarios? Be sure to use the financial formulas provided in this week’s readings. Your paper must be comprehensive and include specific insights as to why your portfolio’s beta reacts to market conditions. Your paper must be formatted according to APA style as outlined in the Ashford Writing Center, and it must include at least two scholarly sources (in addition to the text).

Show more
  • @
  • 139 orders completed
ANSWER

Tutor has posted answer for $25.00. See answer's preview

$25.00

*********** ConstructionIn order ** **** * ********* ** is ********* **** *** ********** ** ******* ** that *** portfolio ***** the requirements ** *** ******** **** ** the ************ include *** ****** *********** **** tolerance **** ******* *** *** *** ******************************* *********** is *** ** *** important ******* ** deciding the structure of * ********* ** ********* **** ** ******** ********** ******* **** ****** choose ****** ****** ** ********* want ** **** ********** ******* then **** **** ****** ***** cap ****** **** stable **** ***** **** ********* ** ********* depends ** *** ********* conditions and ******** to ****** **** ********* ** ***** ****** ** life *** **** **** **** than ********* *** are saving for ***** retirement *** started *** ******* ** the ***** stages of **** Risk ********* plays ** important **** ** ******** *** ********* ** the ********* ********* ********** allows ********* ** ****** ** ******* ******** ***** ***** **** ******** ** ******** **** ******* **** ******* ***** ** ********* **** ** the selection ** * ********* The ********* ********* ********* select ****** ** * ********* with ***** fundamentals whereas for ********** investments stocks *** ******** ***** on ********* ******** **** their primary **** coming from ********* ******* L ****** * & Smart * 2011)Tax Consideration ** ******* important aspect ** deciding *** ********* ** ********* ****** **** *** ********* would ** ******* ** *** and the ******** ****** plan *** *********** ** * way that ********* *** tax ******** ********* *********** ** growth ***** ******* deferral of ******* ***** the sale ** ***** This ******** ****** of portfolio in * way **** ******** ****** return over a specific period ********* ** substantial ****** ******** ***** risk ******** ** benchmark and ***** **** ***** ********** ********** *** **** ********* ****** ** *** ********* **** ** ** ****** ********** that will **** *** ********* ******** *** will ** **** ** ******* ** ***** ** returnChoosing SecuritiesThere *** ******* methods of ******** ********** ** a ********* that ******* *** **** ******** accepted ******** *** ******** ******** and ********* ******** *** ******** ******** ******** analyzing big picture ** *** of ********* ******** ********** ************** ** industry ***** **** ******* ****** in the given circumstances *** finally ********* / ********** stock ****** such ********** that will result ** better ******* and return ** *** bottoms-up ******** ***** ********** *** ***** **** ********** ******** ** economic *** ******** ********* ********** ***** ********** 2006)Portfolio ********* The ********* ********* ** ***** securities **** include:· 100 ****** ** **** **** ******* ** total ***** $416500 ** ** $4165 *** ***** *** ******* has * **** ** *** **** is ************ ***** **** *** ****** **** ** ** *** hence ****** stable ****** *** company *** been able ** ******** ****** **** ***** ******* *** return *** its ************ ******** ** ****** ** ******** *** bonds of ***** ** total ***** $95560 ** ** $9560 *** **** ********** ** ***** to **** credit ****** ** *** ******* *** ****** and ****** **** flows **** **** **** **** ** ***** ***** ********* without ********* in any ******* risk **** of ********* ** ** reduce overall risk ** *** *********** Fourth ** ******** ** *** **** ******* ** ** stock **** ****** ***** ***** *** ***** ******** ** ********* ** **** ** **** per option ******** ** ***** ***** ** ****** Idea is to **** exposure into ********** market to ***** **** ********* **** ****** fund Since *** ******** ****** **** ********* of stocks that *** ******* into ********** ****** *** option ** ** ** ********** *** taking such ******** ** *********** *** ***** riskCalculating *** ********* Portfolio ******** ******* discuss ***** *********** of **** ** **** individual ******** and *** *** ******* ********* Beta ** * measure ** **** **** ******** variation of ********* ****** due to ****** ** ****** ****** ********** ******** **** of Microsoft ***** *** **** **** for computing **** ******* ***** ******* ***** ** used for calculating expected return **** ********** ******** ****** * ***** Brown * (2011) ********** *** been **** as * ********* against ***** *** ********* *********** **** ** ******** Lastly *** ******** **** shows ****** in portfolio ***** *** ** change ** ********** ******* **** *** expected return ** *** **** **** *********** **** ***** ******* ***** ****** *** ******* 500 ****** *** considered *** computing returns and ************ regression analysis ** ******* ** ******* ***** **** Also **** ****** *** ***** **** ********* ******* **** Yahoo ******* ******* and ****** ******* ** compare computed **** **** published **** **** ********* by ***** Finance being ** outlier ****** *** **** ******* ***** ***** be * *********** due ** difference ** **** period ********** by ** Google ******* and ******* *** ** ***** ******* ***** Beta ** ******* ***** ** ******* of *** ******** **** *** **** ********* by ****** Finance *** *********** ** *** ********** ******** ** *** Beta ** per ***** ******* ** 0103; **** as *** ****** ******* ** ***** Beta as *** ******* is 051Hence the derived beta ** *** ***** ******* **** volatile ****** ** *** ***** If market moves ************ ** *** *** **** Cola ***** **** **** ** *** ** *** **** directionUsing ************ ****** = 233% * *** * (1381% * ***** * ****** **** *** ******** ****** ** bond of AppleApple bond **** ****** of *** ******** ** 2023 *** ***** ** listed on ********* ***** Exchange *** **** ******** and the movement ** ***** ***** (in ******* **** ***** history) ***** its listing ** on May * **** *** **** considered for calculation of ***** returns *** compared with ***** return of S&P500 *** *** **** period ********** ******** ** used ** compute beta ** *** **** and **** ** ******* *** calculating ******** ********** as *** regression analysis ** *** *** ***** ******* **** ***** **** ****** *** ********** moves ** ******** direction ** ******** ** **** ***** ***** * 10% **** ** S&P500 ***** **** **** to 2% ******* ** ***** bond ****** **** **** ******* *** point **** ****** ***** returns and bond returns *** ********** ********** ** **** ******* *** CAPM the ******** ****** ** Apple **** ****** * *** * (1381% * 233%) * ****** **** *** ******** return ** ** ***** **** OptionPurchase of 150 call ****** of strike ***** *** **** ****** as ** ********* ** **** has **** **** ** * call ***** of **** ******** price ** ** August ** ***** *** lot ***** of HP ***** ** ** ****** ** 2015 ** ********** for *********** ** ****** **** **** ***** ** ****** has **** taken ** ********* by Nasdaq ** on ****** 19 **** *** *** ******* ** ********** Beta ** HP *** **** **** ******** in a manner ******* to **** *** *********** ** case ** **** **** ***** ***** Regression Analysis ToolPakBeta ** ********* ** ***** as:(Stock price / **** ****** * ******** * ***** betaBeta ** ** **** ****** * ****** * ***** * ***** * 160 * **** **** ******** *** significantly **** ******** ****** ** ********** ******* * *** change ** S&P ***** **** ****** **** option ***** by ***** ******* **** ********** & Finance)Using ************ ****** of ** **** ****** * **** * 1176 * ****** * ***** * ******** ********* beta and ******** ****** ********* beta *** expected returns are ********** ** a ******** ******* ** beta *** ******* of securities constituting **** portfolio **** ********** ********** ***** the weight respectively (Reilly * ***** Brown * ************** **** ** ********** ************** ** ********** ** ********** ********** ** the portfolio *** their ********** ******** * ***** * *** 002 * 956% + 1176 * ********* ********* **** = ******* ***** **** *** ********* ***** ***** ******** nearly *** ** *** ****** ******** In ***** ***** *** every *** ****** ** values ** S&P500 the ***** of portfolio ******* ** *** ** **** ****************** expected ****** ** ********** ************** ** ********** ** individual ********** in *** ********* *** ***** ********** *********** * ***** * **** * **** + ***** * 2400% * ****** * 405% * **** * 2074%Hence ********* ****** = 1274%· ********* ** ********* value *** ** ****** ** ***** of *********** ** *** ***** of ********** ******** ** 20% **** today ********** portfolio **** ** *** *** ***** ** ********* ****** ******** ** 190%o ** value ** ********** decline ** *** over ***** ********** ********* beta is *** the ***** ** ********* ****** ******* by ******* or **** portfolio *** ** *********** ** beta ****** **** *** significantly higher **** ** *** ************* lower than ** ************ ***** our ********* **** ** ****** to ** means that *** ******** of portfolio will ** more ** **** ** **** with the overall ****** and hence ** ******* * bull *** * **** market ************************* * Joehnk * ***** Smart * ****** ************ ** ********* ***** *** ****** *** ******* Education ********** ** ***** **** RN (2000) ****** ********* Managment ***** ** **** ****** Retrieved **** ********************************* F & ***** * (2011) Investment ******** and PortfolioManagment ******* **************

Click here to download attached files: solution-In a three- to five-page paper.....docx
or Buy custom answer
LEARN MORE EFFECTIVELY AND GET BETTER GRADES!
Ask a Question