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Calculate the optimal weight on T-bill and Risky portfolio. (hint: use y*=(E(rp)-rf)/(A*s^2); assuming a risk averse level of 4) I have ten stocks information and
Calculate the optimal weight on T-bill and Risky portfolio. (hint: use y*=(E(rp)-rf)/(A*s^2); assuming a risk averse level of 4)
I have ten stocks information and i would like to know what's the t-bill about and how can i use the formula to calculate optimal weight.
Examples will be prefect. I need to know what all the information that i need. Thank you!
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