Please obtain the daily closing stock price of ashok Leyland past one year, i.e. from 1 April 2022 to 31 March 2023.

From the price series you should compute the daily returns using log returns method for the one year entire period.

You will need to calculate the following:

- Average daily return, Variance, and Standard deviation of Stock #1 over the period of a year

- Covariance and Correlation across of the stocks (over the same time period)

Assume that you are being given Rs. 100,000 in your portfolio (as of the starting date) and you need to split that 60:40 between the two stocks. You may choose which stock should get 60% and which stock should get 40%.

in excel do the following set of calculations:

- Expected return, Variance, and Standard deviation of Overall portfolio (with 60:40 split)

you will also need to plot the efficient frontier and the CML.

Calculate portfolio risk and the portfolio return. Draw a scatter plot using this data.

Initially and quite arbitrarily assume that your market portfolio comprises of 50% in stock 1 Then calculate the risk and return of the market portfolio. Then compute the Sharpe ratio for this market portfolio in a cell in this sheet. Then use Excel solver to maximize the Sharpe ratio by changing the weight of the stocks in the portfolio. This will give you the point of tangency, which is the market portfolio.

run a regression to calculate the Beta of each of the stocks with respect to the market, where the market is proxied by the index. Graph the regression on a chart. Using the calculated Beta and the risk free rate calculate the required return for each of the stocks based on CAPM model.

write a short report outlining your key analysis, findings, learnings, as well any decisions you made such as methodology, etc. It should be a short report and to the point.