I need this by today at 7:00p.m.US/ Central Time

In this homework, I have completed everything except for the (smoothed/unsmoothed) alpha and (smoothed/unsmoothed) weights and questions 1, 2, 3, and 5.

I also need you to double check my work and regression statistics and make sure that Alpha calculations are correct. I have done more than 90% of the work except for what I mentioned above. That should not take you more than 10 minutes as a maximum if you know how to calculate. So I expect a fair quote for the work. Please refer my excel to for further information.

The required work is highlighted in yellow and I have done most of it. I need your help in the cells that are highlighted in (red) with answering the questions.

Original Transformed Smoothed Unsmoothed Data Data 1997 3.620% 1997 1.180% 0.568% 1997 -0.990% -1.534% 1997 0.490% 0.861% 1997 4.060% 4.956% 1997 3.110% 2.872% 1997 4.700% 5.099% 1997 0.520% -0.529% 1997 4.050% 4.936% 1997 -1.270% -2.605% 1997 -0.190% 0.081% 1997 1.290% 1.661% 1998 -0.190% -0.561% 1998 3.760% 4.751% 1998 3.540% 3.485% 1998 1.150% 0.550% 1998 -1.680% -2.390% 1998 0.230% 0.709% 1998 -0.460% -0.633% 1998 -7.810% -9.654% 1998 1.050% 3.273% 1998 2.170% 2.451% 1998 3.780% 4.184% 1998 2.950% 2.742% 1999 2.230% 2.049% 1999 -0.840% -1.610% 1999 3.480% 4.564% 1999 4.920% 5.281% 1999 1.150% 0.204% 1999 4.130% 4.878% 1999 0.820% -0.011% 1999 0.320% 0.195% 1999 0.740% 0.845% 1999 1.900% 2.191% 1999 5.330% 6.191% 1999 7.730% 8.332% 2000 0.950% -0.751% 2000 6.760% 8.218% 2000 1.740% 0.480% 2000 -1.470% -2.275% 2000 -1.000% -0.882% 2000 3.260% 4.329% 2000 0.060% -0.743% 2000 3.740% 4.663% 2000 -0.710% -1.827% 2000 -1.070% -1.160% 2000 -2.520% -2.884% 2000 2.200% 3.384% 2001 3.040% 3.251% 2001 -1.440% -2.564% 2001 -1.110% -1.027% 2001 2.020% 2.805% 2001 1.470% 1.332% 2001 0.510% 0.269% 2001 -0.570% -0.841% 2001 -0.180% -0.082% 2001 -2.580% -3.182% 2001 1.840% 2.949% 2001 2.020% 2.065% 2001 1.710% 1.632% 2002 0.660% 0.397% 2002 -0.480% -0.766% 2002 1.870% 2.460% 2002 0.620% 0.306% 2002 0.380% 0.320% 2002 -1.490% -1.959% 2002 -2.240% -2.428% 2002 0.590% 1.300% 2002 -1.240% -1.699% 2002 0.720% 1.212% 2002 2.090% 2.434% 2002 0.010% -0.512% 2003 0.530% 0.660% 2003 0.090% -0.020% 2003 0.120% 0.128% 2003 2.530% 3.135% 2003 3.230% 3.406% 2003 1.350% 0.878% 2003 1.160% 1.112% 2003 1.660% 1.785% 2003 0.970% 0.797% 2003 2.290% 2.621% 2003 0.940% 0.601% Original Smoothed 0.0062979188 Yes Transformed Unsmoothed 0.0059744304 Yes SP 500 Names: 1 2 3 Tbill SPY Alpha 0.418% Significant ? 0.423% 0.952% 0.431% -4.513% Average 0.728% 0.722% 0.303% 0.425% 6.072% Variance 0.038% 0.058% 0.183% 0.402% 6.129% 0.421% 4.028% Covariance w/ 0.00 0.425% 7.628% SPY risk premim 0.059% 0.075% 0.424% -5.319% 0.414% 4.697% Optimal Weight 0.422% -2.481% on HF (with SPY) 0.5169 0.69 0.422% 3.797% 1. Compute the Risk Premiums in columns S, T, V and W. 0.433% 1.889% 0.420% 1.280% 2. Regress each HF Risk Premium series on the SPY Risk Premium series. This is essentially a CAPM regression. (Where did you put the output?) Did the HF index have a significant alpha in each case? 0.432% 6.700% 0.416% 4.763% 0.404% 1.271% 0.408% -2.099% 0.414% 4.169% 0.413% -1.361% 0.397% -15.220% 0.354% 6.170% 0.351% 7.796% 0.368% 5.419% 0.363% 6.337% 0.363% 3.462% 0.379% -3.259% 0.363% 4.063% 0.369% 3.727% 0.376% -2.313% 0.389% 5.390% 0.385% -3.151% 0.404% -0.519% 0.393% -2.259% 0.413% 6.211% 0.429% 1.651% 0.431% 5.554% 0.461% -5.107% 0.470% -1.534% 0.477% 9.250% 0.471% -3.575% 0.458% -1.585% 0.475% 1.949% 0.502% -1.583% 0.509% 6.329% 0.503% -5.642% 0.513% -0.469% 0.501% -7.759% 0.478% -0.524% 0.403% 4.350% 0.393% -10.025% 0.348% -5.767% 0.319% 8.199% 0.295% -0.562% 0.297% -2.412% 0.287% -1.025% 0.273% -6.117% 0.192% -8.516% 0.168% 1.294% 0.144% 7.509% 0.139% 0.562% 0.143% -0.985% 0.143% -1.810% 0.145% 3.273% 0.144% -5.992% 0.142% -0.595% 0.138% -7.667% 0.139% -8.210% 0.137% 0.678% 0.127% -11.077% 0.118% 7.907% 0.100% 5.985% 0.099% -5.823% 0.096% -2.490% 0.098% -1.357% 0.091% 0.214% 0.092% 8.122% 0.090% 5.339% 0.070% 1.060% 0.077% 1.787% 0.080% 2.042% 0.077% -1.097% 0.078% 5.214% 0.076% 1.086% Yes, they both have a significant alpha value. We can determine this by comparing our alpha to the T-Stat which is greater than 2 in both cases. This means that the HF earned excess returns 3. Compute and compare the indicated statistics for the two series of Risk Premiums of the hedge-fund returns. Discuss your comparison here: The average decreased when we unsmoothed the data. This indicates that unsmoothing causes returns to decrease The variance increased from 0.038% to 0.058% The covariance including the spy risk premium increased when we unsmoothed the data. This indicates that there is a strong coorelation between the S&P 500 and HF returns. 4. For each series, compute the optimal portfolio weight it would have when combined with SPY-Rf (the market Risk Premium). Place the answers in I13 and K13. 5. Explain why the two sets of weights are different refering to the other statistics you discussed in #3. Risk Premiums Smoothed Risk Premiums Un-Smoothed SPY HF-data 0.5295% 0.7575% -4.9434% -1.4208% 5.6472% 0.0650% 5.7273% 3.6583% 3.6072% 2.6892% 7.2029% 4.2750% -5.7435% 0.0958% 4.2828% 3.6358% -2.9025% -1.6917% 3.3750% -0.6117% 1.4559% 0.8567% 0.8596% -0.6100% 6.2682% 3.3283% 4.3473% 3.1242% 0.8668% 0.7458% -2.5063% -2.0875% 3.7551% -0.1842% -1.7731% -0.8725% -15.6162% -8.2067% 5.8155% 0.6958% 7.4453% 1.8192% 5.0504% 3.4117% 5.9746% 2.5875% 3.0986% 1.8667% -3.6385% -1.2192% 3.6998% 3.1167% 3.3580% 4.5508% -2.6890% 0.7742% 5.0008% 3.7408% -3.5363% 0.4350% -0.9234% -0.0842% -2.6515% 0.3475% 5.7975% 1.4867% 1.2222% 4.9008% 5.1230% 7.2992% -5.5678% 0.4892% -2.0043% 6.2900% 8.7735% 1.2633% -4.0461% -1.9408% -2.0422% -1.4575% 1.4740% 2.7850% -2.0843% -0.4417% 5.8203% 3.2308% -6.1449% -1.2125% -0.9814% -1.5825% -8.2595% -3.0208% -1.0015% 1.7225% 3.9466% 2.6367% -10.4182% -1.8333% -6.1152% -1.4583% 7.8794% 1.7008% -0.8571% 1.1750% -2.7084% 0.2133% -1.3115% -0.8567% -6.3899% -0.4533% -8.7072% -2.7717% 1.1263% 1.6725% 7.3645% 1.8758% 0.4232% 1.5708% -1.1280% 0.5167% -1.9532% -0.6233% 3.1279% 1.7250% -6.1357% 0.4758% -0.7372% 0.2379% -7.8056% -1.6283% -8.3487% -2.3788% 0.5407% 0.4529% -11.2039% -1.3673% 7.7893% 0.6019% 5.8852% 1.9898% -5.9218% -0.0885% -2.5859% 0.4343% -1.4550% -0.0079% 0.1229% 0.0292% 8.0305% 2.4383% 5.2481% 3.1396% 0.9897% 1.2802% 1.7094% 1.0828% 1.9616% 1.5800% -1.1738% 0.8928% 5.1367% 2.2123% 1.0105% 0.8643% SPY HF-data 0.5295% 0.1453% -4.9434% -1.9653% 5.6472% 0.4364% 5.7273% 4.5541% 3.6072% 2.4508% 7.2029% 4.6740% -5.7435% -0.9530% 4.2828% 4.5216% -2.9025% -3.0265% 3.3750% -0.3407% 1.4559% 1.2280% 0.8596% -0.9814% 6.2682% 4.3194% 4.3473% 3.0690% 0.8668% 0.1462% -2.5063% -2.7976% 3.7551% 0.2951% -1.7731% -1.0456% -15.6162% -10.0509% 5.8155% 2.9189% 7.4453% 2.1002% 5.0504% 3.8156% 5.9746% 2.3792% 3.0986% 1.6860% -3.6385% -1.9895% 3.6998% 4.2006% 3.3580% 4.9121% -2.6890% -0.1718% 5.0008% 4.4886% -3.5363% -0.3955% -0.9234% -0.2096% -2.6515% 0.4529% 5.7975% 1.7777% 1.2222% 5.7615% 5.1230% 7.9014% -5.5678% -1.2120% -2.0043% 7.7478% 8.7735% 0.0037% -4.0461% -2.7463% -2.0422% -1.3396% 1.4740% 3.8539% -2.0843% -1.2446% 5.8203% 4.1542% -6.1449% -2.3291% -0.9814% -1.6728% -8.2595% -3.3847% -1.0015% 2.9068% 3.9466% 2.8474% -10.4182% -2.9574% -6.1152% -1.3755% 7.8794% 2.4862% -0.8571% 1.0370% -2.7084% -0.0275% -1.3115% -1.1277% -6.3899% -0.3555% -8.7072% -3.3739% 1.1263% 2.7815% 7.3645% 1.9210% 0.4232% 1.4931% -1.1280% 0.2532% -1.9532% -0.9094% 3.1279% 2.3146% -6.1357% 0.1622% -0.7372% 0.1777% -7.8056% -2.0975% -8.3487% -2.5669% 0.5407% 1.1630% -11.2039% -1.8264% 7.7893% 1.0937% 5.8852% 2.3336% -5.9218% -0.6104% -2.5859% 0.5648% -1.4550% -0.1183% 0.1229% 0.0367% 8.0305% 3.0430% 5.2481% 3.3152% 0.9897% 0.8084% 1.7094% 1.0351% 1.9616% 1.7055% -1.1738% 0.7197% 5.1367% 2.5435% 1.0105% 0.5256% SUMMARY OUTP Regression Statis Multiple R R Square Adjusted R Standard Er Observatio ANOVA Regression Residual Total Coeffic Intercept SPY SUMMARY OUTP Regression Statis Multiple R R Square Adjusted R Standard Er Observatio ANOVA Regression Residual Total Coeffic Intercept SPY 2003 1.830% 2004 1.810% 2004 1.140% 2004 0.650% 2004 -1.220% 2004 -0.440% 2004 0.700% 2004 -0.850% 2004 0.120% 2004 1.520% 2004 0.840% 2004 2.700% 2004 1.560% 2005 0.120% 2005 2.020% 2005 -0.860% 2005 -1.530% 2005 0.850% 2005 1.520% 2005 2.290% 2005 1.060% 2005 2.180% 2005 -1.410% 2005 1.920% 2005 2.140% 2006 3.500% 2006 0.610% 2006 1.970% 2006 1.730% 2006 -1.840% 2006 -0.390% 2006 0.020% 2006 0.960% 2006 0.110% 2006 1.800% 2006 1.760% 2006 1.610% 2007 1.130% 2007 0.790% 2007 0.910% 2007 1.590% 2007 2.000% 2007 0.720% 2007 0.370% 2007 -1.450% 2007 2.510% 2007 2.870% 2007 -2.070% 2007 0.520% 2.053% 1.805% 0.972% 0.527% -1.689% -0.244% 0.986% -1.239% 0.363% 1.871% 0.669% 3.167% 1.274% -0.241% 2.497% -1.583% -1.698% 1.447% 1.688% 2.483% 0.751% 2.461% -2.311% 2.756% 2.195% 3.841% -0.115% 2.311% 1.670% -2.736% -0.026% 0.123% 1.196% -0.103% 2.224% 1.750% 1.572% 1.010% 0.705% 0.940% 1.761% 2.103% 0.399% 0.282% -1.907% 3.504% 2.960% -3.310% 1.170% 0.076% 0.075% 0.077% 0.077% 0.079% 0.088% 0.109% 0.118% 0.131% 0.140% 0.156% 0.182% 0.182% 0.202% 0.224% 0.227% 0.236% 0.240% 0.255% 0.278% 0.286% 0.289% 0.317% 0.321% 0.332% 0.364% 0.376% 0.376% 0.388% 0.393% 0.405% 0.411% 0.409% 0.397% 0.412% 0.408% 0.407% 0.415% 0.416% 0.408% 0.394% 0.383% 0.389% 0.401% 0.333% 0.308% 0.318% 0.256% 0.262% 4.909% 1.958% 1.348% -1.333% -1.910% 1.698% 1.833% -3.275% 0.243% 0.999% 1.280% 4.356% 2.968% -2.268% 2.069% -1.846% -1.891% 3.172% 0.151% 3.755% -0.942% 0.799% -2.394% 4.301% -0.192% 2.373% 0.571% 1.637% 1.255% -3.058% 0.260% 0.447% 2.159% 2.664% 3.103% 1.969% 1.328% 1.493% -1.981% 1.152% 4.334% 3.336% -1.473% -3.181% 1.275% 3.798% 1.348% -3.950% -1.132% 4.8332% 1.8830% 1.2707% -1.4103% -1.9896% 1.6102% 1.7246% -3.3926% 0.1126% 0.8592% 1.1247% 4.1737% 2.7858% -2.4694% 1.8447% -2.0731% -2.1277% 2.9315% -0.1036% 3.4771% -1.2277% 0.5102% -2.7106% 3.9800% -0.5236% 2.0089% 0.1953% 1.2607% 0.8678% -3.4513% -0.1445% 0.0356% 1.7500% 2.2677% 2.6914% 1.5615% 0.9212% 1.0782% -2.3975% 0.7443% 3.9405% 2.9533% -1.8620% -3.5819% 0.9426% 3.4900% 1.0292% -4.2061% -1.3941% 1.7544% 1.7353% 1.0628% 0.5731% -1.2993% -0.5277% 0.5914% -0.9677% -0.0107% 1.3805% 0.6844% 2.5182% 1.3782% -0.0818% 1.7958% -1.0868% -1.7664% 0.6098% 1.2650% 2.0123% 0.7742% 1.8908% -1.7271% 1.5986% 1.8079% 3.1358% 0.2344% 1.5938% 1.3425% -2.2329% -0.7950% -0.3913% 0.5513% -0.2867% 1.3883% 1.3525% 1.2029% 0.7154% 0.3738% 0.5021% 1.1963% 1.6175% 0.3308% -0.0308% -1.7825% 2.2017% 2.5517% -2.3258% 0.2583% 4.8332% 1.8830% 1.2707% -1.4103% -1.9896% 1.6102% 1.7246% -3.3926% 0.1126% 0.8592% 1.1247% 4.1737% 2.7858% -2.4694% 1.8447% -2.0731% -2.1277% 2.9315% -0.1036% 3.4771% -1.2277% 0.5102% -2.7106% 3.9800% -0.5236% 2.0089% 0.1953% 1.2607% 0.8678% -3.4513% -0.1445% 0.0356% 1.7500% 2.2677% 2.6914% 1.5615% 0.9212% 1.0782% -2.3975% 0.7443% 3.9405% 2.9533% -1.8620% -3.5819% 0.9426% 3.4900% 1.0292% -4.2061% -1.3941% 1.9777% 1.7302% 0.8946% 0.4501% -1.7685% -0.3320% 0.8775% -1.3566% 0.2327% 1.7318% 0.5138% 2.9849% 1.0921% -0.4431% 2.2726% -1.8095% -1.9345% 1.2070% 1.4331% 2.2055% 0.4655% 2.1719% -2.6279% 2.4341% 1.8631% 3.4771% -0.4907% 1.9350% 1.2823% -3.1287% -0.4312% -0.2884% 0.7871% -0.4999% 1.8124% 1.3425% 1.1653% 0.5950% 0.2884% 0.5322% 1.3669% 1.7204% 0.0097% -0.1187% -2.2392% 3.1953% 2.6420% -3.5653% 0.9082% OUTPUT (Smoothed) n Statistics 0.712437 0.507566 0.503749 0.013764 131 df SS MS F Significance F 1 0.025191 0.025191 132.9642 1.40063287892E-021 129 0.02444 0.000189 130 0.0496309 Coefficients Standard Error t Stat P-value 0.006298 0.001206 5.223788 6.84E-007 0.325298 0.028211 11.53101 1.40E-021 Lower 95% Upper 95% Lower 95.0%pper 95.0% U 0.0039125644 0.008683 0.003913 0.008683 0.2694823416 0.381113 0.269482 0.381113 OUTPUT (unsmoothed) n Statistics 0.735626 0.541146 0.537589 0.016319 131 df SS MS 1 0.040518 0.040518 129 0.034356 0.000266 130 0.074874 F Significance F 152.135 1.42694330346E-023 Coefficients Standard Error t Stat P-value 0.005974 0.001429 4.179586 5.35E-005 0.412553 0.033448 12.3343 1.43E-023 Lower 95% Upper 95% Lower 95.0%pper 95.0% U 0.0031462658 0.008803 0.003146 0.008803 0.3463763565 0.47873 0.346376 0.47873