Question: 1.Using the data given below, please graph the expected return and standard deviation for 3 portfolios using the 3 different correlations 2. Indicate what area
1.Using the data given below, please graph the expected return and standard deviation for 3 portfolios using the 3 different correlations
2. Indicate what area of the graph is efficient using the correlations
3. Assume you can lend and borrow at a riskless rate of 5% and short sales are allowed. Find the location of the optimal portfolio for each portfolio considered.
4. Calculate the minimum variance for each portfolio
| Security | Expected Return | Standard Deviation |
| A | 15.5% | 8.4% |
| B | 7.25% | 4.2% |
Please create 3 different graphs using the following correlations: .5,0,-.9
SHOW WORK and ALL formulas used
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