Calculate the annual value-at-risk for the firm

Reference no: EM132210978

Question - A firm's portfolio is currently valued at 50 million. The portfolio has an annualized expected rate of return of 7% and a volatility of 10.5%. Assume the returns are normally distributed, and that the portfolio pays no dividends. Calculate the 5% annual Value-at-Risk for the firm's portfolio investment gain after one year.

Reference no: EM132210978

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