Question
Portfolio 1 expected return : 7% standard deviation : 5% Expected risk premium/unit of risk : 0.40 Expected risk premium is calculated using risk free
Portfolio 1
expected return : 7%
standard deviation : 5%
Expected risk premium/unit of risk : 0.40
Expected risk premium is calculated using risk free rate of 4%
Using CML (capital market line ), calculate Return for the Portfolio with risk tolerance of 8 percent.
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Personal Financial Planning
Authors: Lawrence J. Gitman, Michael D. Joehnk, Randy Billingsley
13th edition
1111971633, 978-1111971632
