01. What is the efficient frontier? How is it related to the attainable set of all possible portfolios? How can it be used with an investor's utility function to find the optimal portfolio? 

 

02. Your portfolio had the values in the following table for the four years listed. There were no withdrawals or contributions of new funds to the portfolio. Calculate your average return over the four-year period. 

 

Year                                     Beginning Value                                     Ending Value 

2016	$60,000	$55,000
2017	55,000	65,000
2018	65,000	68,000
2019	68,000	70,000

03. Using the above data (question 02), calculate the portfolio standard deviation. 

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1 The efficient frontier is a concept in portfolio theory that represents the set of portfolios that achieve the highest expected return for a given l... View the full answer