Q3 (A) Consider the following probability distribution associated with the returns of two securities, Ret A -20% Prob B 0.1 0.2 Ret B -40% 0 15 ProbA 0.1 0.2 0.4 0.2 0.1 25 0.4 30 35 50 0.2 0.1 50 80 You have $400000 to invest in the above securities. Based on the above data answer the following questions. a) What is the expected return for both securities? Which one is more risky? b) Is it feasible to construct a portfolio for the above securities? c) Calculate the portfolio return and risk at different weights (just take following combinations with security A as 1.0, 0.75, 0.50, 0.25 and 0). (8+4+8 = 20)