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Please show the excel formula to understand which items were used The expected returns and standard deviations of stocks A and B are listed below,
Please show the excel formula to understand which items were used
The expected returns and standard deviations of stocks A and B are listed below, along with the correlation the returns of Stock A and Stock B. Calculate the expected return and standard deviation of a portfolio with the relative weights in the table below. | |||||||
Stock A E(R) | 12.00% | ||||||
Stock B E(R) | 18.00% | ||||||
Stock A | 36.00% | ||||||
Stock B | 60.00% | ||||||
Weight Stock A | 45.00% | ||||||
Weight Stock B | 55.00% | ||||||
A,B | -0.25 | ||||||
Use the scratchpad to show your work in Excel. | |||||||
Type your numercial answers into the yellow cells below. | |||||||
Answers should be to two decimal places, e.g. 1.23% or $123.45. | |||||||
Portfolio Expected Return | |||||||
Portfolio Expected Standard Deviation |
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