Question: please answer both Given the following expectations for return, risk and correlation: An optimal portfolio of S and B has been calculated to contain 0.5

please answer both

Given the following expectations for return, risk and correlation: An optimal portfolio of S and B has been calculated to contain 0.5 stocks, i.e. portfolio S (out of a possible 100% or 1.0). What would be the standard deviation of the optimal portfolio from S and B ? \begin{tabular}{l} 0.1639 \\ 0.1774 \\ \hline 0.1503 \\ 0.1706 \\ \hline 0.1590 \end{tabular} Firm-specific risk is also known as: economic risk diversifiable risk non-diversifiable risk market risk systematic risk

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Given the following expectations for return, risk and correlation: An optimal portfolio of S and B has been calculated to contain 0.6 stocks, i.e. portfolio S (out of a possible 100% or 1.0 ). What...

L6 Given the following expectations for return, risk and correlation: An optimal portfolio of S and B has been calculated to contain 0.5 stocks, i.e. portfolio S (out of a possible 100% or 1.0). What...

Given the following expectations for return, risk and correlation: An optimal portfolio of S and B has been calculated to contain 0.3 stocks, i.e. portfolio S (out of a possible 100% or 1.0 ). What...

Given the following expectations for return, risk and correlation: An optimal portfolio of S and B has been calculated to contain 0.35 stocks, i.e. portfolio S (out of a possible 100% or 1.0 ). What...

Given the following expectations for return, risk and correlation: An optimal portfolio of S and B has been calculated to contain 0.55 stocks, i.e. portfolio S (out of a possible 100% or 1.0). What...

23 Given the following expectations for return, risk and correlation: An optimal portfolio of S and B has been calculated to contain 0.45 stocks, Le. portfolio S (out of a possible 100% or 1.0 )....

23 Given the following expectations for return, risk and correlation: An optimal portfolio of S and B has been calculated to contain 0.45 stocks, L.e. portfolio S lout of a possible 100% or 1.0 )....

Given the following expectations for return, risk and correlation: psb -0.25 Portfolio S Portfolio B E(r) o 0.17 0.1 0.08 0.11 0.045 Risk-free An optimal portfolio of S and B has been calculated to...

ide Given the following expectations for return, risk and correlation: E(r) opsb Portfolio S 0.28 0.13 -0.25 Portfolio B 0.11 0.12 Risk-free 0.05 An optimal portfolio of S and B has been calculated...

Explain how a provision should be recognized as stated by MFRS 137 deals with Provisions, Contingent Liabilities and Contingent Assets. explain in detail with examples and in paragraph.

In a study of the mutual effects of the air pollutants ozone and sulfur dioxide. Blue Lake snap beans were grown in open-top field chambers. Some chambers were fumigated repeatedly with sulfur...

You friend, Isabel, has two credit cards with balances that she cannot afford to pay off all at once. Card A has a $500 balance with a 15.99% APR and Card B has a $400 balance with a 25.99% APR....

CT Corp Comprehensive Question Canadian Tire Corporation, Limited ( Canadian Tire ) is a family of companies that includes a retail segment and a financial services division, among others. The retail...

Know the principles of effective service recovery systems.

Explain the service recovery paradox.

Know the core strategies of the Wheel of Loyalty that explain how to develop a loyal customer base.