Instructions: Identify the riskiest asset from among the eight. Compute in excel the return variance of a one-asset portfolio invested entirely in this asset. Next, identify the riskiest asset from the remaining seven assets. Next compute in excel the return variance of a two-asset portfolio invested equally in this asset and the first one. Now, identify the riskiest asset from the remaining six assets. Finally, compute the return variance of a three-asset portfolio invested equally in this third-riskiest asset and the other two. Continue this process until all the assets are in the portfolio.

Stock Ticker			MSFT	AAPL	BMY	HUM	AMZN	F	JPM	BAC
Return Variance, i2			0.084	0.456	0.038	0.100	0.178	0.379	0.050	0.264
Return Standard Deviation, i			0.290	0.675	0.196	0.317	0.422	0.616	0.224	0.514
Covariance, ij		MSFT		0.079	0.023	0.064	0.085	0.119	0.051	0.106
Covariance, ij		AAPL			0.019	0.048	0.198	0.233	0.068	0.099
Covariance, ij		BMY				0.040	0.022	0.031	0.009	0.006
Covariance, ij		HUM					0.054	0.076	0.022	0.043
Covariance, ij		AMZN						0.194	0.056	0.114
Covariance, ij		F							0.093	0.174
Covariance, ij		JPM								0.106