Business, 17.08.2021 05:00 alkinoonn

You currently have $100,000 invested in a portfolio that has an expected return of 12% and a volatility of 8%. Suppose the risk-free rate is 5%, and there is another portfolio that has an expected return of 20% and a volatility of 12%. i. How do you construct a new portfolio that has a higher expected return than your current portfolio but with the same volatility?
ii. How do you construct a new portfolio that has a lower volatility than your current portfolio but with the same expected return?
To get the full marks of this question, you need to specify the dollar amount that you invest in the new portfolios in (i) and (ii)

Answers: 2

Show answers

Another question on Business

Business, 21.06.2019 18:30

Following is stanley black & decker’s income statement for 2016 (in millions): stanley black & decker, inc. income statement for the year ended december 31, 2016 ($ millions) sales $11,406.9 cost of goods sold 7,139.7 gross profit $ 4,267.2 selling, general and administrative expenses 2,602.0 other operating expenses 268.2 operating income 1,397.0 interest and other nonoperating expenses 171.3 income before income tax 1,225.7 income tax expense 261.2 net income $ 964.5 compute stanley black & decker’s gross profit margin.

Answers: 1

Answer

Business, 22.06.2019 10:00

The solution set for -18 < 5x-3 iso-3х3< xо-3хo3 > x

Answers: 3

Answer

Business, 22.06.2019 11:40

Manipulation manufacturing's (amm) standards anticipate that there will be 5 pounds of raw material used for every unit of finished goods produced. amm began the month of maymay with 8,000 pounds of raw material, purchased 25,500 pounds for $ 15,300 and ended the month with 7,400 pounds on hand. the company produced 4,9004,900 units of finished goods. the company estimates standard costs at $ 1.10 per pound. the materials price and efficiency variances for the month of maymay were:

Answers: 1

Answer

Business, 22.06.2019 17:30

Communication comes in various forms. which of the following is considered an old form of communication? a) e-mail b) letter c) skype d) texting

Answers: 2

Answer

You know the right answer?

You currently have $100,000 invested in a portfolio that has an expected return of 12% and a volatil...

Questions