Question
Consider the following two investment opportunities: a stock fund and a bond fund with E(r S )=0.20, S =0.3, E(r B )=0.12, B =0.15. The
Consider the following two investment opportunities: a stock fund and a bond fund with E(rS)=0.20, S=0.3, E(rB)=0.12, B=0.15. The correlation coefficient between the two funds is 0.10. The risk free rate is 0.08. It can be verified that the portfolio that offers the highest slope has wS=0.4516 and wB=0.5484. The slope of this portfolio is?
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Decision Making In Marketing And Finance An Interdisciplinary Approach To Solving Complex Organizational Problems
Authors: P. Koku
1st Edition
1137379472, 1137444770, 9781137379474, 9781137444776
