Calculate the DEAR for the following portfolio with the correlation coefficients and then with perfect positive correlation

Question:

Calculate the DEAR for the following with the correlation coefficients and then with perfect positive correlation between various asset groups.

Calculate the DEAR for the following portfolio with the correlation

What is the amount of risk reduction resulting from the lack of perfect positive correlation between the various assets groups?

Portfolio
A portfolio is a grouping of financial assets such as stocks, bonds, commodities, currencies and cash equivalents, as well as their fund counterparts, including mutual, exchange-traded and closed funds. A portfolio can also consist of non-publicly...