Five years ago, an ETF was initiated with 3 million shares in 14 stocks each with a market value of $16. The ETF issued

Business, Finance, Economics, Accounting, Operations Management, Computer Science, Electrical Engineering, Mechanical Engineering, Civil Engineering, Chemical Engineering, Algebra, Precalculus, Statistics and Probabilty, Advanced Math, Physics, Chemistry, Biology, Nursing, Psychology, Certifications, Tests, Prep, and more.
Post Reply
answerhappygod
Site Admin
Posts: 899604
Joined: Mon Aug 02, 2021 8:13 am

Five years ago, an ETF was initiated with 3 million shares in 14 stocks each with a market value of $16. The ETF issued

Post by answerhappygod »

Five years ago, an ETF was initiated with 3 million shares in 14
stocks each with a market value of $16. The ETF issued 42
million shares. Three years ago, Oliver purchased 250,000
shares in the ETF for $23.51 a share. The price has now
increased to $28.92 a share, and Oliver is considering
redeeming his shares. Assume none of the original shares
have been sold or redeemed. If Oliver redeems his shares, how
many shares of each stock will he receive? Please note
that partial shares may not be purchased.
Round the answer to the whole number. Please note that the
answer should be rounded down since it is not
possible to purchase partial stock.
Join a community of subject matter experts. Register for FREE to view solutions, replies, and use search function. Request answer by replying!
Post Reply