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The following table shows the expected returns on three assets X , Y , Z for the period 2 0 1 8 - 2 0

The following table shows the expected returns on three assets X, Y, Z for the period 2018-2022. Assume that the investor is willing to form a portfolio of X and Y or X and Z. He also is planning to invest 2/3 of his investment funds in X and 1/3 in Y or Z.
Year Rx (%) Ry (%) Rz (%)
20188248
2019102012
2020121616
2021141220
202216824
Answer the following questions accordingly:
1. Calculate the average expected return on portfolio X and Y.
2. Calculate the average expected return on portfolio X and Z.
3. Calculate the standard deviation of portfolio X and Y.
4. Calculate the standard deviation of portfolio X and Z.
5. What is your advice to this investor?

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