Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
You are given the following information on Aardvark (A) Inc, Bandicoot (B) Inc and the TSX market portfolio, under 5 different economic conditions. Aardvark Inc has a correlation with the market portfolio of 0.9 and Bandicoot Inc has a correlation with the market portfolio of -0.5. The TSX market portfolio has a standard deviation of 10%. The government of Canada T-bill is yielding a return of 4%.
State of the Economy Probability Return on A Return on B Boom 0.3 30% 8%
Improving 0.2 20% 8%
No change 0.2 10% 10%
Slowdown 0.2 0% 12%
Recession 0.1 -20% 15%
a) Calculate the expected return for Aardvark Inc.
b) If the expected return for Bandicoot Inc is 9.9%, calculate the standard deviation for Bandicoot.
c) Calculate the correlation between the two stocks. Assume risk for Aardvark is 15.52%.
d) Assume you have a portfolio with $40,000 invested in Aarkvard and $160,000 invested in Bandicoot. Determine the expected return and standard deviation of returns for this portfolio.
e) How well does diversification work in this scenario? How much risk reduction have you achieved from the worst-case outcome? Comment.
provide an overview of the organization you chose including what it provides for its members and how one can join the
What is the difference between Diversity Management and Affirmative Action? Among the HR-systems we have discussed in this course, where can discrimination
Why might the application exhibit the issues the employees complain about?
Consider the four phases of the research process mentioned in the textbook. determine the research problem, develop the appropriate research design, execute the research design, and communicate the results.
Recommend steps to improve Return on Assets (ROA) for the company.
Explain How many years should a project plan outlook be and Does it make a difference within the field of healthcare and Explain your reasoning
What are the key changes that have been made when it comes to workmen's compensations with the introduction of the new Accident Compensation Act 2017?
Describe the details relating to concept, staff and management structure, and projected first-year revenues specific to your business, with supporting informati
Choose two different ways that organizations can use social media to seek out potential new employees and attract talent.
Exactly who qualifies as an agent for purposes of the act? Must a person in some fashion be responsible for the funds granted to the state entity?
Use the key word "economic news" in a Google search to find an appropriate news story or article that illustrates the ideas presented in the reading for this week.
Select a health care provider with which you are familiar and determine the best way for that provider to leverage word-of-mouth marketing. Explain your rationale.
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd