You have two values for X and Y with the following yields: X Y 40 -10...

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You have two values for X and Y with the following yields: X Y 40 -10 10 40 35 -5 -5 35 15 15 1. Determine the expected performance of each value (X and Y) 2. Determine the risk level (standard deviation) of each value (X and Y) 3. You must create a 50/50 portfolio with the two values 4. Determine expected portfolio performance 5. Determine the risk (standard deviation) of the portfolio 6. What can you expect from correlation? Why is that? 7. Calculate the correlation of values You have two values for X and Y with the following yields: X Y 40 -10 10 40 35 -5 -5 35 15 15 1. Determine the expected performance of each value (X and Y) 2. Determine the risk level (standard deviation) of each value (X and Y) 3. You must create a 50/50 portfolio with the two values 4. Determine expected portfolio performance 5. Determine the risk (standard deviation) of the portfolio 6. What can you expect from correlation? Why is that? 7. Calculate the correlation of values

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Question 1 To determine the expected performance of each value X and Y we need to calculate the mean average of the yields For Value X Mean X 40 10 35 ... View the full answer