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The expectation of market returns is 20%, the standard deviation is 25%. The risk-free rate is 7%. Security i is on the efficient frontier, it
The expectation of market returns is 20%, the standard deviation is 25%. The risk-free rate is 7%.
- Security i is on the efficient frontier, it has an expectation of 30%, what is the standard deviation of returns? What is the correlation with the market?
- Security j has an expectation of 35% and a standard deviation of 65%. What is the systematic risk and the specific risk of this security?
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Fundamentals of Investments, Valuation and Management
Authors: Bradford Jordan, Thomas Miller, Steve Dolvin
8th edition
1259720697, 1259720691, 1260109437, 9781260109436, 978-1259720697
