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How do I start? I don't know where to begin.. Consider an investment universe consisting of three assets with the following characteristics: E(r1)=12% E(r2) =
How do I start? I don't know where to begin..
Consider an investment universe consisting of three assets with the following characteristics:
E(r1)=12%
E(r2) = 17%
E(r3) = 7%
1 =25%
2 = 30%
3 = 20%
1,2 =0.5
1,3 =0.25
2,3 = 0.35
What is the expected return and standard deviation of an equally weighted portfolio investing in all three assets?
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