In the portfolio example in this section (see page 192), half the portfolio assets are invested in

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In the portfolio example in this section (see page 192), half the portfolio assets are invested in the Dow Jones fund and half in a weak-economy fund. Recalculate the portfolio expected return and the portfolio risk if
a. 30% of the portfolio assets are invested in the Dow Jones fund and 70% in a weak-economy fund.
b. 70% of the portfolio assets are invested in the Dow Jones fund and 30% in a weak-economy fund.
c. Which of the three investment strategies (30%, 50%, or 70% in the Dow Jones fund) would you recommend? Why?
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Statistics For Managers Using Microsoft Excel

ISBN: 772

7th Edition

Authors: David M. Levine, David F. Stephan, Kathryn A. Szabat

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