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can you please work in excel sheet with all steps and show me all excel functions/formulas The Variance - Covariance Matrix 21. In the following
can you please work in excel sheet with all steps and show me all excel functions/formulas
The Variance - Covariance Matrix 21. In the following table, you will find annual return data for six high-tech companies between the years 1997 and 2007. Use the information below to compute the variance - covariance matrix of the returns. 22. Use the data from question 21 , and calculate the variance - covariance matrix with the single-index model. You may assume that the variance of the S\&P 500 index (market portfolio) is 18%. In other words, the variances of each stock remain the same as in question 21, but the covariances (outside the main diagonal) are adjusted (multiplied) by the market index variance (a sort of a shrinkage factor) Step by Step Solution
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