part 1 - 12 question. please explain in detail & please dont use excel.

Benefits of diversification Sally Rogers has decided to invest her wealth equally across the following three assets ? a. What are her expected returns and the risk from her investment in the 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 b. Could Sally reduce her total risk even more by using assets M and N only assets M and only, or assets N and only? Use a 50/50 split between the asset pairs, and find the standard deviation of each asset pair a. What is the expected return of investing equally in all three assets M, N, and ? 0% (Round to two decimal places) III Homework: Chapter 8 Homework Question 8, P8-24 (similar to) Part 1 of 12 HW Score: 73.15%, 6.58 of 9 points Points: 0 of 1 Save Benefits of diversification Sally Rogers has decided to invest her wealth equally across the following three assets ? a. What are her expected returns and the risk from her investment in the 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. b. Could Sally reduce her total risk even more by using assets and N only, assets M and only, or assets N and only? Use a 50/50 split between the asset pairs, and find the standard deviation of each asset pair Data table - States Boom Normal Probability 25% 54% Asset M Return 14% 11% Asset N Rotum 23% 16% Asset O Rotum 2% 11% Recession 21% 2% 3% 14% Print Done