Question: solve 5 and 6 with steps In a certain capital market characterized by CAPM-equilibrium, two risky stocks, Pand Q are traded amongst a multitude of

solve 5 and 6 with steps

In a certain capital market characterized by CAPM-equilibrium, two risky stocks, Pand Q are traded amongst a multitude of other financial assets. In this market the risk-free rate of return is 6% and the market risk premium is 4%. The risk of the market portfolio (as ) is 8%. The characteristics of P and Q are: A. Calculate systematic risk of P and Q B. Calculate expected return of the portfolio C. Calculate standard deviation of the portfolio Exercice 6 A. what is the simple return on 4 Dec compared to 3 Dec? what about 7 Dec? B. What is the one period gross return on 4 Dec? What is the gross return on 7Dec? C. What is the 3-days simple gross return on Dee 7

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