1. Compute the following three risk measures for each of your three portfolios (equal allocation for all portfolios): 
2. Portfolio 1: Nike (NKE), Apple (AAPL), Netflix (NFLX), Amazon (AMZN), Disney (DIS). 
3. Portfolio 2: Chipotle (CMG), Walmart (WMT), Airbnb (ABNB), Roblox (RBLX), Lyft (LYFT). 
4. Portfolio 3: APPL, CMG, WMT, DIS, NKE

 1. Total risk (or portfolio variance),

2. Systematic risk, and

3. Idiosyncratic risk using CAPM.

You can use either daily, weekly or monthly data to compute these risk measures. Please justify your choice and mention clearly the time-period you used to estimate the three risk measures.

Answer rating: 100% (QA)

To compute the three risk measures total risk systematic risk and idiosyncratic risk for each of the ... View the full answer