Consider the following two assets:

Asset A: expected return is 4% and standard deviation of return is 42%

Asset B: expected return is 1.5% and standard deviation of return is 24%

The correlation between the two asets is 0.1

(a) Compute the expected return and the standard deviation of return for 4 portfolios with different weights w on asset A (and therefore weight 1-w on B): w= -0.5, w=0.3, w=0.8, w=1.3

(b) Then sketch a porfolio frontier with the 4 portfolios, asset A and asset B (so total of 6 data points), with return on y-axis, and standard deviation on x-axis.