. Benefits of diversification. Sally Rogers has decided to invest her wealth equally across the following...

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. Benefits of diversification. Sally Rogers has decided to invest her wealth equally across the following three assets: What are her expected returns and the risk from her investment three assets? How do they compare with investing in asset M alone? Hint: Find the standard deviations of asset M and of the portfolio equally invested in assets M, N, and O. What is the expected return of investing equally in all three assets M, N, and O? % (Round to two decimal places.) Data table (Click on the following icon in order to copy its contents into a spreadsheet.) States Boom Probability 27% Asset M Return 13% Normal 48% 10% Recession 25% 1% Asset N Return 23% Asset O Return 1% 15% 10% 3% 13% . Benefits of diversification. Sally Rogers has decided to invest her wealth equally across the following three assets: What are her expected returns and the risk from her investment three assets? How do they compare with investing in asset M alone? Hint: Find the standard deviations of asset M and of the portfolio equally invested in assets M, N, and O. What is the expected return of investing equally in all three assets M, N, and O? % (Round to two decimal places.) Data table (Click on the following icon in order to copy its contents into a spreadsheet.) States Boom Probability 27% Asset M Return 13% Normal 48% 10% Recession 25% 1% Asset N Return 23% Asset O Return 1% 15% 10% 3% 13%