Example: Analytical VaR The expected annual return for a $100,000,000 portfolio is 6.0% and the historical standard deviation is 12%. Calculate VaR at 5% probability. 2. You purchase 100 shares of stock at $100 ($10,000); the margin requirement is 40 percent. What are the dollar and percentage returns if a) You sell the stock for $112 and buy the stock for cash? b) You sell the stock for $90 and buy the stock on margin? c) You sell the stock for $60 and buy the stock on margin