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The following table contains the historic returns from large stocks and long-term Treasury bonds over the last 20 years. Analyze the risk-return trade-off that would

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The following table contains the historic returns from large stocks and long-term Treasury bonds over the last 20 years. Analyze the risk-return trade-off that would have characterized these portfolios. Required: a. Calculate the average rate of return and standard deviation of the "Excess returns" after a continuous compounding transformation was performed. (Do not round intermediate calculations. Round your answers to 2 decimal places.) d. What were the average return and standard deviation of the minimum-variance combination of stocks and bonds? (Do not round intermediate calculations. Round your answers to 2 decimal places.) The following table contains the historic returns from large stocks and long-term Treasury bonds over the last 20 years. Analyze the risk-return trade-off that would have characterized these portfolios. Required: a. Calculate the average rate of return and standard deviation of the "Excess returns" after a continuous compounding transformation was performed. (Do not round intermediate calculations. Round your answers to 2 decimal places.) d. What were the average return and standard deviation of the minimum-variance combination of stocks and bonds? (Do not round intermediate calculations. Round your answers to 2 decimal places.)

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