Calculate the correlations among the daily returns of stock

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Reference no: EM131993806

If I have stata and an excel file, how would I calculate these problems with a porfolio of stocks where one stock is 50% and the other two are 25%. Could you give me step by step how to go about solving that. I have the stocks on a spreadsheet but I can't post it on here unless you give me a way to do that. That has the stock returns.

(a) Using the end date 12/31/15 and the three stocks, calculate the correlations among the daily returns of the stocks and the S&P 500 using data for the last 10 years, the last 5 years, and the last 2 years.

(b) Discuss the correlations between the stocks and between the S&P 500. Expected? How do they change? Why might that be?

Reference no: EM131993806

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