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the table below decomposes the total risk of a foreign investment (for a us citizen) into different components. expalin these components Terent 0.48 Var(R) Var(R)

image text in transcribedthe table below decomposes the total risk of a foreign investment (for a us citizen) into different components. expalin these components
Terent 0.48 Var(R) Var(R) Components of Var (R) Var(e) 2Cov(R) AVar 13.81 7.60 10.97 12.73 12.55 9.91 4.55 Bonds Australia Canada Germany Japan Switzerland U.K. U.S. Stocks Australia Canada Germany Japan Switzerland U.K. U.S. 4.57 (33.09%) 3.47 (45.66%) 2.86 (26.07)% 1.98 (15.55%) 2.07 (16.49%) 4.17 (42.08%) 4.55 (100%) 11.20 (81.10%) 4.90 (64.47%) 9.19 (83.77%) 9.93 (78.00%) 10.82 (86.22%) 7.57 (76.39%) 0.00 (n.a.) -2.08 (-15.06%) -0.79(-10.39%) -1.22 (-11.12%) 0.69 (5.42%) -0.57(-4.54%) -2.02 (-20.38%) 0.00 (n.a.) 0.12 (0.87%) 0.02 (0.26%) 0.14 (1.28%) 0.13 (1.03%) 0.23 (1.83%) 0.19 (1.92%) 0.00 (n.a.) 37.75 31.35 44.44 39.85 24.54 25.77 20.27 16.36 (43.34%) 18.25 (58.21%) 37.58 (84.56%) 34.45 (86.46%) 20.75 (84.58%) 18.88 (73.28%) 20.27 (100%) 11.20 (29.67%) 4.90 (15.61%) 9.19 (20.67%) 9.93 (24.91%) 10.82 (44.08%) 7.57 (29.36%) 0.00 (n.a.) 10.39 (27.52%) 8.51 (27.14%) -2.54 (-5.72%) -5.07(-12.72%) -7.27(-29.65%) -0.86(-3.34%) 0.00 (n.a.) -0.20 (-0.53%) -0.31 (-0.96%) 0.21 (0.49%) 0.54 (1.35%) 0.24 (0.99%) 0.18 (0.70%) 0.00 (n.a.) Terent 0.48 Var(R) Var(R) Components of Var (R) Var(e) 2Cov(R) AVar 13.81 7.60 10.97 12.73 12.55 9.91 4.55 Bonds Australia Canada Germany Japan Switzerland U.K. U.S. Stocks Australia Canada Germany Japan Switzerland U.K. U.S. 4.57 (33.09%) 3.47 (45.66%) 2.86 (26.07)% 1.98 (15.55%) 2.07 (16.49%) 4.17 (42.08%) 4.55 (100%) 11.20 (81.10%) 4.90 (64.47%) 9.19 (83.77%) 9.93 (78.00%) 10.82 (86.22%) 7.57 (76.39%) 0.00 (n.a.) -2.08 (-15.06%) -0.79(-10.39%) -1.22 (-11.12%) 0.69 (5.42%) -0.57(-4.54%) -2.02 (-20.38%) 0.00 (n.a.) 0.12 (0.87%) 0.02 (0.26%) 0.14 (1.28%) 0.13 (1.03%) 0.23 (1.83%) 0.19 (1.92%) 0.00 (n.a.) 37.75 31.35 44.44 39.85 24.54 25.77 20.27 16.36 (43.34%) 18.25 (58.21%) 37.58 (84.56%) 34.45 (86.46%) 20.75 (84.58%) 18.88 (73.28%) 20.27 (100%) 11.20 (29.67%) 4.90 (15.61%) 9.19 (20.67%) 9.93 (24.91%) 10.82 (44.08%) 7.57 (29.36%) 0.00 (n.a.) 10.39 (27.52%) 8.51 (27.14%) -2.54 (-5.72%) -5.07(-12.72%) -7.27(-29.65%) -0.86(-3.34%) 0.00 (n.a.) -0.20 (-0.53%) -0.31 (-0.96%) 0.21 (0.49%) 0.54 (1.35%) 0.24 (0.99%) 0.18 (0.70%) 0.00 (n.a.)

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