Question
An investor has 70000 p to be invested in various alternatives.b. what has it. Alternative investments are 8.5% efficient government bonds, 10% efficient deposit certificates,
An investor has 70000 p to be invested in various alternatives.b. what has it. Alternative investments are 8.5% efficient government bonds, 10% efficient deposit certificates, 6.5% efficient treasury bills and 13% efficient income securities. Each alternative has the same duration for its due date. In addition, each investment alternative appears to have different risks to the investor, hence the investment option the difference is apparent. In order to achieve the maximum yield, the investor wants to know how much he or she needs to invest in each alternative.The following predictions are used to diversify investments and reduce the investor's risk intuition has been done: 1st. No more than 20% of the total investment should be in the income statement. 2nd ed. Amount deposited on the certificate of deposit, the amount deposited on the other three alternatives it must not pass. 3. At least 30% of the investment must be in treasury bills and certificates of deposit. 4. One-third of the ratio of the amount invested in government bonds to the amount invested in treasury bills it must not pass. 5. Investor 70000 p.b.he wants to evaluate the whole of it. A mathematical model that an investor can use to create the most profitable portfolio type please.
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