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Benefits of diversification. Sally Rogers has decided to invest her wealth equally across the following three assets: ? 7 . What are her expected returns

Benefits of diversification. Sally Rogers has decided to invest her wealth equally across the following three assets: ?7. What are her expected returns and the risk from her investment in the three assets? How do they compare with investing in asset M alone? Hint: Find the standard deviations of asset M and of the portfolio equally invested in assets M,N, and O.
What is the expected return of investing equally in all three assets M,N, and O?
%(Round to two decimal places.)
What is the expected return of investing in asset M alone?
%(Round to two decimal places.)
What is the standard deviation of the portfolio that invests equally in all three assets M,N, and O?
%(Round to two decimal places.)
What is the standard deviation of asset M?
%(Round to two decimal places.)
By investing in the portfolio that invests equally in all three assets M, N, and O rather than asset M alone, Sally can benefit by increasing her return by % and decreasing her risk by %.(Round to two decimal places.)
7: Data Table
(Click on the following icon in order to copy its contents into a spreadsheet.)
\table[[States,Probability,Asset M Retmrn,Asset N Return,Asset O Return],[Boom,33%,13%,23%,1%
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