Question: ASSIGNMENT This module has two assessments: First: Choose one index in the Financial Market and write review about it. (200 words) Second: Solve the following
ASSIGNMENT This module has two assessments: First: Choose one index in the Financial Market and write review about it. (200 words) Second: Solve the following problems: 1. You put up $50 at the beginning of the year for an investment. The value of the investment grows 4% and you earn a dividend of $3.50. Compute HPR 2. If You have this information about return of stock in 3 periods: -12%, 20% and 25%. calculate: a. The arithmetic average. b. The geometric average. 3. The following table shows information about return of stock and bond. Suppose that your Portfolio contains of 60% stock, 40% bond. Bond Stock Fund Probability scenario 11- 0.3 recession 13 04 Normal 27 0.3 Boom 1. Calculate the expected return of stock, bond, and portfolio. 2. Calculate Standard Deviation of stock, band, and Portfolio 3. Calculate the covariance 4. Calculate the correlation 5. What is your opinion? Deadline: Tuesday, June 16, 2022. Suggestions: start it ASAP, and don't wait until the last minute to submit
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
