In this assignment, you will construct the best possible portfolio for an investor starting from many risky assets and one riskless asset using r studio.

The risk free rate for all questions in this this assignment is 0.0001. Your assignment is to:

Write a function that finds the optimal split between a single riskless and risky asset, given the risk free rate, expected return and SD of the risky asset, and risk aversion of the investor

Find the expected return, standard deviation and Sharpe ratio for an equally weighted portfolio composed of the assets in scenario.set.

Find the expected return, standard deviation and Sharpe ratio for the optimal portfolio composed of the assets in scenario.set

Find the optimal portfolio composition for someone with risk aversion A=2, using the riskless asset and the equally weighted portfolio. What is the expected return and SD of this complete portfolio?

Find the optimal portfolio composition for someone with risk aversion A=2, using the riskless asset and the tangency portfolio . What is the expected return and SD of this complete portfolio?

Each group should submit an R script that, along with the code to answer these questions, also contains any relevant numerical answers in the comments.