Question
An investor is 70000 p to be invested in various alternatives.b. what he has. Alternative investments are 8.5% efficient government bonds, 10% efficient deposit certificates,
An investor is 70000 p to be invested in various alternatives.b. what he has. 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 maturity. In addition, each investment alternative appears at different risks to the investor, so the difference in the investment option is emerging. The investor would like to know how much he should invest in each alternative to achieve maximum yield. The following predictions diversify investments and reduce the investor's risk perception has been done: 1. More than 20% of the total investment should not be included in the income statement. 2. The amount deposited to the deposit certificate, the amount deposited to the other three alternatives it shouldn't. 3. At least 30% of the investment must be a Treasury bond and deposit certificate. 4. The ratio of the amount deposited in government bonds to the amount deposited in treasury bills is one third it shouldn't. 5. Investor 70000 P.b.he wants to evaluate the whole of the nineteen. A mathematical model that the investor can use to create the most profitable portfolio write.
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