QUESTION 4. Now, suppose you want to provide clients visualization of the effect of your asset allocation decision on her Portfolio H's performance in terms of both return and risk.

a) Change the weights into each of the above assets from 0% to 100% with increment of 2% to obtain the possible investment opportunities (portfolios). Present these investment opportunities in a table (Please do NOT allow short-selling). Depict the investment opportunities in a graph in which the x-axis is the portfolio standard deviation of return and the y-axis the expected portfolio return.

b) Among all investment opportunities (portfolios), find out the portfolio (i.e. % in each asset investment, expected returns and risk of the portfolio) with 1) minimum variance (risk) or 2) Best return-risk relationship (the one with the highest Sharpe ratio, and we assume that short selling is NOT allowed) (hint: use Excel Solver, with the annual risk-free rate = 0.5%).