You work as a junior portfolio manager position with ABC Capital. As part of the normal portfolio review process, the company provides a list of $20$ possible investments. You must select at least $6,$ but not more than $12$ investments to create a fully asset$-$allocated portfolio that will have the characteristics of an $8\%$ expected return, a beta of $0\mathrm{.}5$ or less, a correlation of less than $60\%$ to the stock market. You will create the portfolio and present it to the company, explaining:

Show the calculations for achieving required characteristics $($expected return$)$

Calculations for the risk$-$adjusted rate of return $($including Sharpe Ratio and Treynor Ratio$)$

Investment Beta Standard Deviation Correlation Dividend Yield Coupon Actual Return

$1$ Electric Company $0\mathrm{.}028\%14\%2\mathrm{.}35\%$

$2$ Telephone Company $0\mathrm{.}5112\%15\%6\mathrm{.}85\%$

$3$ Chemical Company $1\mathrm{.}518\%12\%7\mathrm{.}39\%$

$4$ IT Company $3\mathrm{.}1820\%13\%29\mathrm{.}96\%$

$5$ Airline Company $1\mathrm{.}218\%11\%10\mathrm{.}17\%$

$6$ Healthcare Company $2\mathrm{.}6224\%12\%26\mathrm{.}92\%$

$7$ The Bank $2\mathrm{.}8920\%12\%20\mathrm{.}42\%$

$8$ Oil Drillers $4\mathrm{.}0920\%13\%30\mathrm{.}56\%$

$9$ Food Company $1\mathrm{.}0415\%13\%6\mathrm{.}06\%$

$10$ Car Company $1\mathrm{.}318\%15\%4\mathrm{.}06\%$

$11$ High Yield Bond $0\mathrm{.}711\%0\mathrm{.}75\%6\mathrm{.}12\%$

$12$ Corporate Bond $0\mathrm{.}554\%-0\mathrm{.}313\%4\mathrm{.}17\%$

$13$ Treasury Bond $0\mathrm{.}333\%-0\mathrm{.}281\%2\mathrm{.}75\%$

$14$ Municipal Bond $0\mathrm{.}45\%-0\mathrm{.}063\%5\mathrm{.}64\%$

$15$ Real Estate $2\mathrm{.}112\%0\mathrm{.}754\%13\mathrm{.}04\%$

$16$ Managed Futures $0\mathrm{.}085\%-0\mathrm{.}051\mathrm{.}62\%$

$17$ Agriculture $0\mathrm{.}718\%0\mathrm{.}1243\mathrm{.}76\%$

$18$ Oil $1\mathrm{.}9636\%0\mathrm{.}510\mathrm{.}31\%$

$19$ Gold $0\mathrm{.}4219\%0\mathrm{.}045\mathrm{.}20\%$

$20$ Cash $00\%00\mathrm{.}25\%1\mathrm{.}77\%$