A portfolio has 38 percent of its funds invested in Security C and 62 percent invested...

A portfolio has 38 percent of its funds invested in Security C and 62 percent invested in Security D. Security C has an expected return of 8.47 percent and a standard deviation of 7.12 percent. Security D has an expected return of 13.45 percent and a standard deviation of 16.22 percent. The securities have a coefficient of correlation of .89. What are the portfolio rate of return and variance values?

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jeff jeffy answered 2 years ago

Ann's portfolio has 20% of its funds invested in Security A, 75%of its funds invested...

Ann's portfolio has 20% of its funds invested in Security A, 75% of its funds invested in Security B, and 5% invested in the risk free asset. The risk-free asset earns 4%. Security A has an expected return of 8% and a standard deviation of 18%. Security B has an expected return of 10% and a standard deviation of 22%. Securities A and B have a coefficient of correlation of 0.60. What is the standard deviation of the portfolio? What...

Your portfolio has 40% of its funds invested in IBM and 60% invested in GM. IBM...

Your portfolio has 40% of its funds invested in IBM and 60% invested in GM. IBM stock has a standard deviation of 30% and GM stock has a standard deviation of 50%. The correlation between IBM and GM stock returns is 0.7. What is the standard deviation of your portfolio return

Your portfolio is invested 20 percent each in A and C, and 60 percent in B....

Your portfolio is invested 20 percent each in A and C, and 60 percent in B. What is the standard deviation of the portfolio? Rate of Return if State Occurs State of Economy Probability of State of Economy Stock A Stock B Stock C Boom .15 .37 .47 .27 Good .45 .22 .18 .11 Poor .35 -.18 -.22 -.08 Bust .05 -.04 -.07 -.05 29.78% 21.36% 25.63% 10.96% 17.26%

Your portfolio is invested 26 percent each in A and C, and 48 percent in B. What is the expected return of the portfolio?

Consider the following information: Rate of Return if State Occurs State of Economy Probability of State of Economy Stock A Stock B Stock C Boom .20 .36 .46 .26 Good .55 .20 .17 .11 Poor .20 –.04 –.07 –.06 Bust .05 –.14 –.32 –.09 Requirement 1: Your portfolio is invested 26 percent each in A and C, and 48 percent in B. What is the expected return of the portfolio? (Do not round your intermediate calculations.) (Click to select) 10.90% ...

Your portfolio is invested 25% each in A and C, and 50 percent in B. What is the expected return of the portfolio?

Consider the following information: State of Economy Probability of State of Economy Stock A Stock B Stock C Boom .05 0.55 0.60 0.47 Good .15 0.46 0.25 0.28 Poor .35 -0.01 -0.06 -0.04 Bust .45 -0.12 -0.10 -0.09 a. Your portfolio is invested 25% each in A and C, and 50 percent in B. What is the expected return of the portfolio? b. What is the variance of this portfolio? The standard deviation?

If your portfolio is invested 40 percent each in A and B and 20 percent in C, what is the portfolio expected return? The variance? The standard deviation?

Consider the following information about three stocks: State of Economy Probability of State of Economy Rate of Return If State Occurs Stock A Stock B Stock C Boom .25 .21 .36 .55 Normal .60 .17 .13 .09 Bust .15 .00 −.28 −.45 If your portfolio is invested 40 percent each in A and B and 20 percent in C, what is the portfolio expected return? The variance? The standard deviation? If the expected T-bill rate is 3.80 percent, what is...

What is the variance of the returns on a portfolio that is invested 40 percent in...

What is the variance of the returns on a portfolio that is invested 40 percent in Stock S and 60 percent in Stock T? State of Economy Probability of State of Economy Rate of Return if State Occurs Stock S Stock T Boom .06 .22 .18 Normal .92 .15 .14 Bust .02 −.26 .09 .00091 .00136 .00107 .00118 Please show work

Consider an investor with a 3 asset portfolio. Fifty percent of the investor’s portfolio is invested...

Consider an investor with a 3 asset portfolio. Fifty percent of the investor’s portfolio is invested in common stock with an expected return of 11%, an additional thirty percent of the investor’s portfolio is invested in corporate bonds with an expected return of 6%, while the remaining twenty percent of the portfolio in invested in real estate which offers an expected return of 14%. The standard deviation of return for the three individual investments are 23%, 9%, and 32% respectively....

4. You own a Portfolio that is invested 43 percent in Stock A, 16 percent in...

4. You own a Portfolio that is invested 43 percent in Stock A, 16 percent in Stock B, and 41 percent in Stock C. The “Expected Returns” on Stocks A, B, and C are: 9.1 percent, 16.7 percent, and 11.4 percent, respectively. What is the “Variance” of the Portfolio and What is the “Standard Deviation” of the Returns on this Stock?

You have a portfolio that is invested 13 percent in Stock A, 52 percent in Stock...

You have a portfolio that is invested 13 percent in Stock A, 52 percent in Stock B, and 35 percent in Stock C. The betas of the stocks are .82, 1.37, and 1.66, respectively. What is the beta of the portfolio?

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