This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Consider the data provided in the table below for a portfolio of Assets A and B. The correlation of ... (Read 66 times)

chandani

  • Hero Member
  • *****
  • Posts: 541
on: Apr 25, 2021

Question 1

Consider a 2 asset portfolio with 60% in Google Inc. (GOOG) and 40% in John Deere (DE). Google has a standard deviation of 60%, John Deere has a standard deviation of 45% and their correlation is 0.2. What is the standard deviation of returns of the portfolio?
◦ 38.33%
◦ 43.35%
◦ 45.25%
◦ 50.00%
◦ 52.50%

Question 2

Consider the data provided in the table below for a portfolio of Assets A and B. The correlation of the two assets is ρ = -0.9523. What is the standard deviation of the returns of the portfolio?

​Asset AAsset B
Portfolio Weights0.330.67
Standard Deviation0.50.6

◦ 6.25%
◦ 25%
◦ 35%
◦ 55%
◦ 57.5%
Corporate Finance Online ¦ Eakins, McNally ¦ 2nd Edition
Buy Test-Bank


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by chandani on Apr 25, 2021

komodo7

  • Sr. Member
  • ****
  • Posts: 322
Reply #1 on: Apr 25, 2021
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 35% of students answer this correctly


chandani

  • Member
  • Posts: 541
Reply 2 on: Apr 25, 2021
Thanks for the timely response, appreciate it

ricroger

  • Member
  • Posts: 352
Reply 3 on: Yesterday
Great answer, keep it coming :)

« previous next »
 

Did you know?

Amoebae are the simplest type of protozoans, and are characterized by a feeding and dividing trophozoite stage that moves by temporary extensions called pseudopodia or false feet.

Did you know?

Critical care patients are twice as likely to receive the wrong medication. Of these errors, 20% are life-threatening, and 42% require additional life-sustaining treatments.

Did you know?

According to the Migraine Research Foundation, migraines are the third most prevalent illness in the world. Women are most affected (18%), followed by children of both sexes (10%), and men (6%).

Did you know?

Pink eye is a term that refers to conjunctivitis, which is inflammation of the thin, clear membrane (conjunctiva) over the white part of the eye (sclera). It may be triggered by a virus, bacteria, or foreign body in the eye. Antibiotic eye drops alleviate bacterial conjunctivitis, and antihistamine allergy pills or eye drops help control allergic conjunctivitis symptoms.

Did you know?

Atropine was named after the Greek goddess Atropos, the oldest and ugliest of the three sisters known as the Fates, who controlled the destiny of men.

The cladistic approach from molecular genetic data The cladistic approach from molecular genetic data
Carrie Mae Weems, Untitled (Man Smoking/Malcolm X), from The Kitchen Table Series. Carrie Mae Weems, Untitled (Man Smoking/Malcolm X), from The Kitchen Table Series.
Determining a good table height. Stand facing the table with your hands at your sides. Adjust the ... Determining a good table height. Stand facing the table with your hands at your sides. Adjust the ...
Standing at the head of the table, apply effleurage to upper trapezius from neck to shoulder using a ... Standing at the head of the table, apply effleurage to upper trapezius from neck to shoulder using a ...
table table
Type III curve. Mortality is highest early in life. Data for a desert shrub (Cleome droserifolia). Type III curve. Mortality is highest early in life. Data for a desert shrub (Cleome droserifolia).
Video: Sperm Formation

For a complete list of videos, visit our video library