STS-1 Portfolio analysis You have been asked for your advice in selecting a portfolio of as sets and have been given the following data: Expected return Asset A Asset B Asset 12% 16% 14 14 14 16 12 16 Year 2016 2017 2018 12% You have been told that you can create two portfolios--one consisting of assets A and B and the other consisting of assets A and C-by investing equal propor- tions (50%) in each of the two component assets, 1. What is the expected return for cach asset over the 3-year period? W. What is the standard deviation for cach asset's return? What is the expected return for each of the two portfolios: d. How would you characterize the correlations of returns of the two assets making up each of the two portfolios identified in parte What is the standard deviation for each portfolio? f. Which portfolio do you recommend? Why