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QUESTION 2 1. You have a portfolio with two assets. Asset A is 65% of your portfolio and it has a return of 13% and

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QUESTION 2 1. You have a portfolio with two assets. Asset A is 65% of your portfolio and it has a return of 13% and a variance of 0.09. Asset B has a return of 9% an a variance of 0.16. The Correlation between both assets is 0.7. Calculate : 1. Percentage invested in asset B 2. Covariance between both assets 3. Expected return of the portfolio 4. Variance of the portfolio

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