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Fill in the Investment Opportunity set table for stocks and bonds below. and explain why your results vary when the weights are different. (4/. )
- Fill in the Investment Opportunity set table for stocks and bonds below. and explain why your results vary when the weights are different. (4/. )
E(rS)=10 | E(rB)=5 | S=18.63 | B=8.27 | Cov= -74.8 |
|
Portfolio Weights | Portfolio expected return E(rp) | Portfolio Standard Deviation | |||
WS | WB | ||||
70% |
|
|
| ||
| 60% |
|
|
Explanation:
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