Question
Assume that the % expected return for security A and the market M for a good, normal and bad economy (probabilities .2,.6,.2) are 18, 14,
Assume that the % expected return for security A and the market M for a good, normal and bad economy (probabilities .2,.6,.2) are 18, 14, and 8 for A and 16, 22, and 12 for M. Also assume that you invest 70% in A and 30% in M. Compute the minimum risk portfolio weight for A.
.45
.35
.72
.28
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International Institutions In Trade And Finance
Authors: Alasdair I. MacBean, P. N. Snowden
1st Edition
0043820336, 9780043820339
