You currently have $100,000 invested in a portfolio that has an expected return of 12 and a volatility of 8 Suppose the risk free rate is 5 , and there is another portfolio that has an expected return of 20 and a volatility of 12 a What portfolio has a higher expected return than your portfolio but...

Invest an amount x in the other portfolio and the expect ...

You currently have $100,000 invested in a portfolio that has an expected return of 12% and a

Question:

You currently have $100,000 invested in a that has an of 12% and a volatility of 8%. Suppose the risk-free rate is 5%, and there is another that has an of 20% and a volatility of 12%.
a. What has a higher than your but with the same volatility?
b. What has a lower volatility than your but with the same Expected Return
The expected return is the profit or loss an investor anticipates on an investment that has known or anticipated rates of return (RoR). It is calculated by multiplying potential outcomes by the chances of them occurring and then totaling these... Portfolio
A portfolio is a grouping of financial assets such as stocks, bonds, commodities, currencies and cash equivalents, as well as their fund counterparts, including mutual, exchange-traded and closed funds. A portfolio can also consist of non-publicly...