Question: Below is annual stock return data on ABC Corp and XYZ, Inc. Year ABC XYZ 2010 9% -3% 2011 20% 0% 2012 -9% 20% 2013
Below is annual stock return data on ABC Corp and XYZ, Inc.
| Year | ABC | XYZ | |||
| 2010 | 9% | -3% | |||
| 2011 | 20% | 0% | |||
| 2012 | -9% | 20% | |||
| 2013 | 3% | 9% |
What is the average return and standard deviation for each stock? (Round answers to 2 decimal places, e.g. 52.75.)
| ABC | XYZ | |||||
| Average return | 5.75 | % | 6.50 | % | ||
| Standard deviation | 12.09 | % | 10.34 | % |
What is the expected portfolio return on a portfolio comprised of i. 25% ABC and 75% XYZ? ii. 50% ABC and 50% XYZ? (Round answers to 3 decimal places, e.g. 5.275.)
| E(Portfolio Return) | |||
| 25% ABC and 75% XYZ |
| % | |
| 50% ABC and 50% XYZ |
| % |
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