Question: Calculate the expected return for a three-asset portfolio with the following Asset Exp. Ret. Std. Dev Weight A 0.0675 0.12 0.25 B 0.1235 0.1675 0.35


Calculate the expected return for a three-asset portfolio with the following Asset Exp. Ret. Std. Dev Weight A 0.0675 0.12 0.25 B 0.1235 0.1675 0.35 0.1425 0.1835 0.40 a. 11.71 percent b. 15.70 percent C. 11.12 percent d. 6.75 percent e. 14.25 percent For an investor with a time horizon of five years and moderate risk tolerance, an appropriate asset allocation strategy would be a. 20 percent cash, 40 percent bonds, and 40 percent stocks. b. 100 percent cash. c. 100 percent bonds. d. 30 percent cash, 50 percent bonds, and 20 percent stocks. e. 10 percent cash, 30 percent bonds, and 60 percent stocks. sis
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