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P6. Calculate Standard Deviation of 3 asset portfolio using information below. Asset 1 Asset 2 Asset 3 E(Ri) 5% 6% 3% Standard Deviation 20% 10%
P6.
| Calculate Standard Deviation of 3 asset portfolio using information below. | ||||
| Asset 1 | Asset 2 | Asset 3 | ||
| E(Ri) | 5% | 6% | 3% | |
| Standard Deviation | 20% | 10% | 30% | |
| weight | 30% | 30% | 40% | |
| Coefficient between Asset 1 and Asset 2 = 0.3 | ||||
| Coefficient between Asset 1 and Asset 3 = 0.5 | ||||
| Coefficient between Asset 2 and Asset 3 = 0.2 | ||||
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Business Finance
Authors: Ronald R. Pitfield
1st Edition
0852581513, 978-0852581513
