Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Stock A and B have the following historical returns. assume a portfoloio of 50% of stock A and 50 % of stock B CALCULATE THE
Stock A and B have the following historical returns. assume a portfoloio of 50% of stock A and 50 % of stock B
CALCULATE THE AVERAGE RATE OF RETURN, VARIANCE, COVARIANCE, COORELARALTION COEEFICENT AND STANDARD DEVIATION OF THE PORTFOLIO
year | Stock A returns Ka | Stock B returns Kb |
1997 | 10% | 3 % |
1998 | 18.5 % | 21.29 % |
1999 | 38.67% | 44.25 % |
2000 | 14.33 % | 3.67 % |
2001 | 33 % | 28.3 % |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started