Question: please show example how to compute. thank you Please use the data provided in the excel file and answer the following questions: Compute the following

please show example how to compute. thank you
please show example how to compute. thank you Please use the data
provided in the excel file and answer the following questions: Compute the

Please use the data provided in the excel file and answer the following questions: Compute the following S&P 500, Stock A and Stock B: i. Monthly returns and Annualized returns ii. Monthly Standard Deviation and Annualized Standard Deviation. A. Which stock (Stock A or Stock B) is most risky if they are held alone and not in a portfolio? B. Now consider the following two portfolios: X: A portfolio with a weight of 99% in S&P 500 and 1% in Stock A Y: A portfolio with a weight of 99% in S&P 500 and 1% in Stock B. Compute the annual standard deviation of portfolio X and Y. C. How does each stock affect the variability of the portfolio and how does it compare with your answer in (b) above? Date S&P 500 Stock A Stock B 1/2/13 -1.70% 6.13% 1.66% 2/2/13 -2.31% 9.87% -13.27% 3/2/13 4.37% -1.37% 10.55% 4/2/13 -5.06% 6.87% 1.01% 5/2/13 -1.19% 2.17% -4.26% 6/2/13 -7.15% -23.97% - 11.37% 7/2/13 -8.23% 1.64% -9.66% 8/2/13 0.64% 7.71% 7.35% 9/2/13 -10.14% -15.36% -31.48% 0.57% 10/2/13 7.35% -8.18% 11/2/13 5.96% -4.81% 25.44% 9.09% 12/2/13 1/3/13 -5.50% -2.46% -9.91% 3.90% 0.59% 2/3/13 -1.72% 0.92% 3/3/13 0.89% -5.78% -19.17% -12.68% 14.70% 4/3/13 8.12% 15.19% 5/3/13 6.18% 21.02% 0.06% 6/3/13 1.48% 9.24% 9.15% -4.54% 7/3/13 2.18% 7.78% -1.86% 8/3/13 2.34% -3.86% 9/3/13 -1.06% 15.78% 0.97% 10/3/13 21.47% 16.70% 5.89% 1.51% 11/3/13 14.93% 1.42% Please use the data provided in the excel file and answer the following questions: Compute the following S&P 500, Stock A and Stock B: i. Monthly returns and Annualized returns ii. Monthly Standard Deviation and Annualized Standard Deviation. A. Which stock (Stock A or Stock B) is most risky if they are held alone and not in a portfolio? B. Now consider the following two portfolios: X: A portfolio with a weight of 99% in S&P 500 and 1% in Stock A Y: A portfolio with a weight of 99% in S&P 500 and 1% in Stock B. Compute the annual standard deviation of portfolio X and Y. C. How does each stock affect the variability of the portfolio and how does it compare with your answer in (b) above? Date S&P 500 Stock A Stock B 1/2/13 -1.70% 6.13% 1.66% 2/2/13 -2.31% 9.87% -13.27% 3/2/13 4.37% -1.37% 10.55% 4/2/13 -5.06% 6.87% 1.01% 5/2/13 -1.19% 2.17% -4.26% 6/2/13 -7.15% -23.97% - 11.37% 7/2/13 -8.23% 1.64% -9.66% 8/2/13 0.64% 7.71% 7.35% 9/2/13 -10.14% -15.36% -31.48% 0.57% 10/2/13 7.35% -8.18% 11/2/13 5.96% -4.81% 25.44% 9.09% 12/2/13 1/3/13 -5.50% -2.46% -9.91% 3.90% 0.59% 2/3/13 -1.72% 0.92% 3/3/13 0.89% -5.78% -19.17% -12.68% 14.70% 4/3/13 8.12% 15.19% 5/3/13 6.18% 21.02% 0.06% 6/3/13 1.48% 9.24% 9.15% -4.54% 7/3/13 2.18% 7.78% -1.86% 8/3/13 2.34% -3.86% 9/3/13 -1.06% 15.78% 0.97% 10/3/13 21.47% 16.70% 5.89% 1.51% 11/3/13 14.93% 1.42%

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