Benefits of diversification. Sally Rogers has decided to invest her wealth equally across the following three assets: 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.) i Data Table (Click on the following icon @ in order to copy its contents into a spreadsheet.) States Boom Normal Recession Probability 32% 46% 22% Asset M Return 14% 12% 6% Asset N Return 24% 16% Asset O Return 6% 12% 14% 4% Print Done