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Q21 Suppose we only have two stocks available in the market. The table below presents the yearly returns on stocks X and Y for a

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Q21 Suppose we only have two stocks available in the market. The table below presents the yearly returns on stocks X and Y for a three-year period Please use the information above for Q21(a) to Q21(e) Please round your answer to 4 decimal places (e.g., if your answer is 0.12341, please report it as 0.1234 ) Q21(a). Using the average returns as the estimator for the expected returns for these two stocks. If you want to form a portfolio with expected returns of 18% using these two stocks, what is the portfolio weight of each stock? (3 marks) Q21(b). What is the variance of the portfolio that you constructed in Q21(a)

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