Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The return on Samsung stock has a standard deviation of 40% and the return on Toyota stock has a standard deviation of 13%. Their covariance

The return on Samsung stock has a standard deviation of 40% and the return on Toyota stock has a standard deviation of 13%. Their covariance is 0.0208.

if you invest 80% in Samsung and 20% in Toyota, what is the variance of the portfolio?

What is the standard deviation of the portfolio?

image text in transcribed
The return on Samsung stock has a standard deviation of 40% and the return on Toyota stock has a standard deviation of 13%. Their covarianceis 0.0208 . Part 1 Attempt 6/10 for 1 pts. If you invest 80% in Samsung and 20% in Toyota, what is the variance of the portfolio? Part 2 (w Attempt 2/10 for 1 pts. What is the standard deviation of the portfolio

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Active Value Investing Making Money In Range Bound Markets

Authors: Vitaliy N. Katsenelson

1st Edition

0470053151, 978-0470053157

More Books

Students also viewed these Finance questions