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Topic: Risk A Linkage amongst Time-frames Assignment (5) Tom is a British investor, who is willing to expand his portfolio of investments with one more

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Topic: Risk "A Linkage amongst Time-frames Assignment (5) Tom is a British investor, who is willing to expand his portfolio of investments with one more stock, which is British Petroleum. All of the following data was extracted from The Financial Times Stock Exchange (FTSE 100) Index of the period from 2016 to 2019. Year Initial Price (Pe) Ending Price (P) Dividends Paid 2016 50 2017 55 5 2018 ? 49 2 2019 51 3 Additionally, Tom was asked about his own analysis of the ongoing political situation. "The Brexit has negatively affected the British stock market, which reflects how prices and going up and down", he said. From this point, Tom decided to allocate his wealth over this investment with such expectations, 25% boom in the overall market, 40% in a stable market and the latter in case of severe hit. Required: (In align with your previous assignment answers) 1. Calculate the range. 2. Calculate the variance and standard deviation for both types of data, whether historical or probability distribution 3. Sketch your answers to present graphically the relationship between risk and return. 4. Do you think any economy would lack risk-free investments? Explain your answer Topic: Risk "A Linkage amongst Time-frames Assignment (5) Tom is a British investor, who is willing to expand his portfolio of investments with one more stock, which is British Petroleum. All of the following data was extracted from The Financial Times Stock Exchange (FTSE 100) Index of the period from 2016 to 2019. Year Initial Price (Pe) Ending Price (P) Dividends Paid 2016 50 2017 55 5 2018 ? 49 2 2019 51 3 Additionally, Tom was asked about his own analysis of the ongoing political situation. "The Brexit has negatively affected the British stock market, which reflects how prices and going up and down", he said. From this point, Tom decided to allocate his wealth over this investment with such expectations, 25% boom in the overall market, 40% in a stable market and the latter in case of severe hit. Required: (In align with your previous assignment answers) 1. Calculate the range. 2. Calculate the variance and standard deviation for both types of data, whether historical or probability distribution 3. Sketch your answers to present graphically the relationship between risk and return. 4. Do you think any economy would lack risk-free investments? Explain your

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