An investor wants to build a portfolio with the following four stocks. With the given details,...
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• An investor wants to build a portfolio with the following four stocks. With the given details, find out his portfolio return and portfolio variance. The investment is spread equally over the stocks. Company A B C D Market Return = 11% Market Variance = 26 Alpha 0.17 2.48 1.47 2.52 Beta 0.93 1.37 1.73 1.17 Residual Variance 45.15 132.25 196.28 51.98 • An investor wants to build a portfolio with the following four stocks. With the given details, find out his portfolio return and portfolio variance. The investment is spread equally over the stocks. Company A B C D Market Return = 11% Market Variance = 26 Alpha 0.17 2.48 1.47 2.52 Beta 0.93 1.37 1.73 1.17 Residual Variance 45.15 132.25 196.28 51.98
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Return of Stock A Alpha of Stock A Beta of Stock A Market Return Return of Stock A 017 093 011 Return of Stock A 017 01023 Return of Stock A 02723 Ret... View the full answer
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