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Problem #4 Risk Professor Weinburger has asked that you calculate the risk associated with a portfolio comprised of three stocks. The projected returns for the

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Problem #4 Risk Professor Weinburger has asked that you calculate the risk associated with a portfolio comprised of three stocks. The projected returns for the three securities are as follows: % % % 9 11 13 15 16 20 2021 2022 2023 2024 2025 2026 B 12 13 12 14 19 18 19 16 16 12 10 8 The stock allocation for the portfolio will be 30% A, 30% B and 40% C. Required: Calculate the 1 expected value of the return for the Portfolio ABC 2 standard deviation for the returns for Portfolio ABC 3 coefficient of variation for Portfolio ABC 4 What is the probabilty of the actual returns falling between +1 and -1 standard deviation from the expected value? (answer in the book)

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