Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Basic Finance Expert

Suppose you plan to create a portfolio with two securities: A and B. A has an expected return of 35% with a standard deviation of 22%. B has an expected return of 20% with a standard deviation of 9%. The correlation between the returns of these two securities is perfectly negative. What percentage of your investment should be in A to make the portfolio risk free? What would be the expected return on the portfolio?

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M927372

Have any Question? 


Related Questions in Basic Finance

This week find the statement of cash flow for a firm of

This week, find the statement of cash flow for a firm of your choosing and report the cash flow ratios. Please report and discuss 3 years of ratios for the three ratios related to debt and dividends but only the current ...

You have a stock and the measure of systematic risk for

You have a stock and the measure of systematic risk for this stock is 1.9. Assuming that risk free rate is 4% and market expected return is 9% what is the expected rate of return on your stock?

1 what is the functional aggregation paradigm and why is it

1. What is the functional aggregation paradigm and why is it important? 2. Compare and contrast the three stages of functional aggregation. 3. Discuss the three challenges logistics faces as it manages on a process, rath ...

Part i - budget variance reportintroduction delete this

Part I - Budget Variance Report Introduction (Delete this heading in your final paper.) In your opening paragraph, very briefly introduce the purpose of your paper. Recall that you will be discussing the operating budget ...

Mimi joined umuc basketball team since summer 2016 on

Mimi joined UMUC basketball team since summer 2016. On average, she is able to score 30% of the field goals. Assume she tries 15 field goals in a game. (a) Let X be the number of field goals that Mimi scores in the game. ...

1 distinguish between a quota sample and a purposive

1. Distinguish between a quota sample and a purposive sample. 2. What three criteria characterize good descriptions of data?

1 what is the secondary mortgage market list three reasons

1. What is the secondary mortgage market? List three reasons why it is important. 2. What were the three principal activities of FNMA under its 1954 charter? What is its principal function now? 3. Name two ways that FNMA ...

Question 1is there a way to determine which type of project

Question 1 Is there a way to determine which type of project (profitable or unprofitable) we have, without waiting until the actual results for comparison? Write in 150 words withREFERENCES. Question 2 What if one uses t ...

1 why are most corporate bonds callable who benefits from

1. Why are most corporate bonds callable? Who benefits from this feature, and what is the cost of adopting a call provision in a public bond issue? 2. Why do corporations have their debt rated? Compare the role played by ...

1 what is the basic objective in a logistics design and

1. What is the basic objective in a logistics design and analysis study? Is it normally a one-time activity? 2. What is sensitivity analysis, and what is its role in systems design and analysis? 3. Why is it important to ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro

Describe what you learned about the impact of economic

Describe what you learned about the impact of economic, social, and demographic trends affecting the US labor environmen