he following information on annual returns relates to 2 shares listed on the Stoo Exchange. k 7. T ear: Happy Ltd Safety Ltd 20.0 20.1 20.2 20.3 20.4 20% 25% 35% 18% 15% 18% 20% 22% 12% 19% You can assume that past performance is an indicator of future performance, (a) Calculate the average return and standard deviation of each share. (b) If you have R100 000 to invest, which one would you buy and explain why? (c) If you invest R40 000 in Happy Ltd and R60 000 in Safety Ltd, calculate your expected return from the portfolio and a measure of risk. (d) Why do investors prefer to invest in portfolios of shares as opposed to individual shares