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Consider the following information

Invest 40% of your money in Asset A

State   Probability   A          B  

Boom   .4       30%       -5%

Bust   .6       -10%       25%

What is the expected return and standard deviation for each asset?

What is the expected return and standard deviation for the portfolio?

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M93050929

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