Question 3 Hansel and Gretel escaped with all the witch's wealth and invested 70% of it in Adidas (ADS) and the remainder in Volkswagen (VOW) on the German Stock Exchange (Deutsche Borse Xetra). They used the daily returns of the most recent six months to calculate the risk (SD) of each share at 1.794% and 1.251%, respectively. From a relevant market portfolio, the expected daily return is 0.038% and the standard deviation of returns is 1.006%. The risk-free rate is 0.00301% per day. The correlations of each asset are given below: Correlation ADS vow Market Portfolio ADS 1 VOW 0.4227 Market Portfolio 0.6689 0.8125 1 0.4774 Estimate the expected return of the shares in Adidas and Volkswagen as well as Hansel and Gretel's portfolio