question archive Calculate the annual returns and standard deviation of annual returns for the following portfolio
Calculate the annual returns and standard deviation of annual returns for the following portfolio
Subject:AccountingPrice: Bought3
Calculate the annual returns and standard deviation of annual returns for the following portfolio. Assume that a correlation coefficient of 0.235 between the returns of the two stocks. (Calculations must be done manually. Show all workings:
|
Portfolio: |
P1 |
P2 |
P3 |
P4 |
P5 |
P6 |
P7 |
P8 |
P9 |
P10 |
P11 |
|
Stock A |
100% |
90% |
80% |
70% |
60% |
50% |
40% |
30% |
20% |
10% |
0% |
|
Stock B |
0% |
10% |
20% |
30% |
40% |
50% |
60% |
70% |
80% |
90% |
100% |
|
Return |
ERP1 | ERP2 | ERP3 | ERP4 | ERP5 | ERP6 | ERP7 | ERP8 | ERP9 | ERP10 | ERP11 |
|
S. D. |
SDP1 | SDP2 | SDP3 | SDP4 | SDP5 | SDP6 | SDP7 | SDP8 | SDP9 | SDP10 | SDP11 |
(22 marks)
