You are considering investing $1,300 in a complete portfolio. The complete portfolio is composed of Treasury bills that pay 5% and a risky portfolio, P, constructed with two risky securities, X and Y. The optimal weights of X and Y in P are 65% and 35% respectively. X has an expected rate of return of 17%, and Y has an expected rate of return of 12%. To form a complete portfolio with an expected rate of return of 8%, you should invest approximately in the risky portfolio. This will mean you will also invest approximately and of your complete portfolio in security X and Y, respectively.
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Business, 21.06.2019 19:30, ceceshelby51631
What would be the input, conversion and output of developing a new soft drink
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Business, 22.06.2019 00:50, tommyaberman
Suppose that: 1. malaysia requires 1 hour of labor to produce 1 pound of rice and 2 hours of labor to produce 1 pencil; 2. indonesia requires 2 hours of labor to produce 1 pound of rice and 4 hours of labor to produce 1 pencil; 3. each country has 10,000 hours of labor to allocate between the production of rice and pencils; and 4. in autarky, malaysia consumes 5,000 pounds of rice and 2,500 pencils. which country has an absolute advantage in rice production? in pencil production? which country has a comparative advantage in rice production? in pencil production? will trade between the two countries be mutually beneficial?
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Business, 22.06.2019 16:30, cadenbukvich9923
Why is investing in a mutual fund less risky than investing in a particular company’s stock?
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You are considering investing $1,300 in a complete portfolio. The complete portfolio is composed of...
History, 17.12.2019 06:31