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3. You are studying an investment in Scandium Berhad. The stock returns for the last 5 years of the company were as follows: Year Scandium

image text in transcribedimage text in transcribedimage text in transcribed 3. You are studying an investment in Scandium Berhad. The stock returns for the last 5 years of the company were as follows: Year Scandium Berhad Roturn 1\%) Calculate its: i. Average annual return. ii. Standard deviation. 4. An investment advisor has recommended a RM100,000 portfolio containing asset K,L and M. It is proposed that RM50,000 will be invested in asset K, with an expected return of 12 percent, RM15,000 will be invested in asset L, with an expected return of 18 percent, and RM35,000 will be invested in asset M with an expected annual return of 8 percent. Calculate the expected annual return of this portfolio. 5. At the beginning of year 2022, Inara bought 100 units of TIGI share at RM5.54 per share and 200 units of UTL share at RM1.56 per share. Throughtout the year, TIGI paid dividends of RM0.26 per share while UTL did not pay any dividends. At the end of the year, the TIGI share and UTL shares were valued at RM5.58 and RM1.60 per share respectively. Calculate: i. Rate of return for each share. ii. Portfolio return for Inara. 6. Berjaya Berhad hold a portfolio of 40 percent of stock A and 60 percent of stock B. The expected return over the next four years for each of these stocks are shown as below: Calculate: i. Expected portfolio return for each year. ii. Expected value of portfolio return. iii. Standard deviation of portfolio AB. 7. George is considering making an investment in a major mining company. Given the following estimates on the probable returns, calculate George's expected return on his investment. 8. Fremont Enterprise has an expected return of 12 percent and Laurelhurst News has an expected return of 25 percent. If you put 60 percent of your portfolio in Laurelhurst and 40 percent in Fremont, calculate the expected return of your portfolio. 9. Share M and share N has the below returns. (a) Calculate for each share: i. Mean returns. ii. Standard deviation of returns. (b) You decided to invest in an equal portfolio of each share, calculate the portfolio risk. (c) Elaborate your finding in (b) above. 10. Share A and share B has the below returns. (d) Calculate for each share: iii. Mean returns. iv. Standard deviation of returns. (e) You decided to invest 70% in Share A and 30% in Share B. Calculate your portfolio return and the portfolio risk

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