Portfolio return and standard deviation Personal Finance Problem Jamie Wong is thinking of building an investment portfolio containing to stocks, Land M Stock L will represent 35% of the dotar value of the porttito, and stock Mwil account for the other 65%. The historical returns over the next years, 2013 - 2018, for each of these stocks are shown in the following table a. Calculate the actual portfolio return, r, for each of the years. b. Calculate the expected value of portfolio returns, i over the 6-year period c. Culoare the word deviation of expected portfolio retums, over the year period. d. How would you characterize the correlation of returns of the two stocks Land M? e Discuss any benefits of diversification achieved by Jamie through creation of the portfolio a. The actual portfolio rutum for year 2013 - 3. Round to two decimal places) The actu portfolio run for year 2014. Round to two decimal place) The actual pontoto satu for year 2015. Round to two decimal places) The actual porto return to your 2016. Round to wo decimal places) The actual porto return for year 2017 Round to two decimal places) The cha portato retum for year 2016. Round to be decimal places) 5. The expected value of portfolio returns to over the year periods Round to two decimal places) c. The standard deviation of expected portume, over the year periods Mound to two decina pace) d. How would you characterize the correlation of return of the Land Select the best below O A The wts are negatively correlated Portfolio return and standard deviation Personal Finance Problem Jamie Wong is thinking of building an investment portfolio containing to stocks, Land M. Stock L will represent 30% of the dotar value of the portbolo, and stock M wil account for the other 65%. The historical retums over the next 6 years, 2013 - 2018, for each of these stocks are shown in the following table: a. Calculate the actual portfolio return, Tp. for each of the years b. Calculate the expected value of portfolio returns over the year period. c. Calculate the standard deviation of expected portfolio returns over the year period d. How would you characterize the correlation of returns of the two stocks Land M? e. Discuss any benefits of diversification achieved by Jane through creation of the portfolio Data Table The actual portfolio return for year 2018 M. Round to two decimal places) b. The expected value of portfolio returns, in over the 6-year period is % (Round to two decimal places) Click on the con here in order to copy the contents of the datatable below c. The standard deviation of expected portfolio return, over the year period i %. Round to two decimal places) into a spreadsheet Expected return d. Hon would you characterize the correlation of return of the two stocks Land My Select the best newer below.) Year Stock L Stock 2013 22 O A These wervely correlated 2014 16 215 OB. The positively correlated 2015 20 2010 e. Dess any benefits of diverfication achieved by Jare through creation of the portfolio Select the best new tow) 21 189 2018 21% O A Combining these two negatively correlated increases overall portfolio risk OB. Coming these two poly conlated reduces overall portfolio isk Print Oc Combining these two positively cold assets increases overall portfolio OD Cong these two negatively correlated reduces overal portfolio risk 14% Done