Solved

Investment a Has an Expected Return of 10% with a Standard

Question 92

Essay

Investment A has an expected return of 10% with a standard deviation of 3.5%.Investment B has an expected return of 6% with a standard deviation of 1.2%.If you invest equally in both investments,what is the expected return and standard deviation of your portfolio? What assumptions have you made?

Correct Answer:

verifed

Verified

E(A + B)= 0.10 + 0.06 = 0.16
A...

View Answer

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions