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Year Blandy Gourmange Average annual return 6.4%% 9.2% Standard deviation of annual return 25.2% 38.6% Correlation...

Year Blandy Gourmange
Average annual return 6.4%% 9.2%
Standard deviation of annual return 25.2% 38.6%
Correlation between Blandy and Gourmange 0.11

You currently have $300,000. You want to invest it in the following three assets: 10-year US Treasury bond with coupon raate 3.8%, Blandy and Gourmange stocks below:

Your goal is to have the expected return of 6.8% with a minimum portfolio risk. How much money should you allocate to these three assets?

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jeff jeffy answered 2 years ago
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