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The following are monthly percentage price changes for Two major markat indexes. Required: a) Determine the average monthly rate of return for each index (4

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The following are monthly percentage price changes for Two major markat indexes. Required: a) Determine the average monthly rate of return for each index (4 Marks) b) Identify standard deviation for each index (4 Marks) c) Compute the covariance of above the index (5 Marks) d) Analyze the correlation coefficient for the same above combinations and explain your findings. (4 Marks) Describe how efficient frontier works based on modern portfolio theory. (8 Marks)

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