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Calculate the target-variance of the data below if you wish the data to have a return...

  1. Calculate the target-variance of the data below if you wish the data to have a return of 60%                                                                                       
  2. Discuss why investors are concerned about downside risk? What parameter can be used to assess downside risk?                                                       

Day

1st June

2nd June

3rd June

4th June

5thJune

6thJune

Return (%)

-110

40

120

60

150

-80

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