Question
There are thousands of assets in the world. The S&P 500 portfolio has had an average return of 8% per year over the past hundred
There are thousands of assets in the world. The S&P 500 portfolio has had an average return of 8% per year over the past hundred years, and a standard deviation of 16%. The risk free rate is 2%. Assuming the CAPM is true:
A) What is the best portfolio you can form which has an expected return of 10%
B) What is the best portfolio you can form which has a standard deviation of 10%
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Bond Markets Analysis And Strategies
Authors: Frank J.Fabozzi
7th Edition
0136078974, 978-0136078975
