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5- In 2015, Mr. Brooks had $20000 and decided to take the following positions in securities Long 100 shares of security 1 Long 200 shares

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5- In 2015, Mr. Brooks had $20000 and decided to take the following positions in securities Long 100 shares of security 1 Long 200 shares of security 2 Short 500 shares of security 3 Long 300 shares of security 4 Borrow money at the risk free: risk free = 4% a- Calculate the weight of each security in the portfolio. b- Calculate the expected rate of return of the portfolio. a- Calculate the standard deviation of the portfolio given that the risk free has correlations with all other securities. 6- Mrs. Brooks has $20000 and decided to take the following positions in the 4 sed Short 150 shares of security 1 Long 300 shares of security 2 Long 100 shares of security 3 Short 500 shares of security 4 Invest the extra cash at the risk free: risk free = 3% b- Calculate the weight of each security in the portfolio constructed by the inve including the weight of cash. c- Calculate the expected rate of return and the standard deviation of the portfo that the risk free has 0 correlations with all other securities. 7- Their son had $1000 and wanted to have a rate of return of 50% by investing in just one security and borrowing or depositing or investing in just two securities. Which portfolio would give him the least risky investment

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