Suppose that an FI holds two loans with the following characteristics. Calculate of the return and risk

Question:

Suppose that an FI holds two loans with the following characteristics.

Calculate of the return and risk on the two-asset portfolio using Moody€™s Analytics
Portfolio Manager.

Portfolio
A portfolio is a grouping of financial assets such as stocks, bonds, commodities, currencies and cash equivalents, as well as their fund counterparts, including mutual, exchange-traded and closed funds. A portfolio can also consist of non-publicly...