Calculate the variance of portfolio consisting

Assignment Help Financial Management

Reference no: EM131517069

Toyota has an expected return of 20%, and a variance of 0.011. Honda has an expected return of 15%, and a variance of 0.008. The covariance between Toyota and Honda is 0.03. Using these data, calculate the variance of a portfolio consisting of 50% Toyota and 50% Honda.

Reference no: EM131517069

Questions Cloud

What was standard deviation of returns for stock : what was the standard deviation of returns for stock A over this four year period?

The stocks predicted price exactly five years : The stock's predicted price exactly 5 years from now, P5, should be $_______________.

The stocks current price should be : The stock's required return is 13%. The stock's current price (Price at year 0) should be $____________.

The stocks required return : The stock's required return is 7.4%. The stock's predicted price 7 years from now, P7, should be $

Calculate the variance of portfolio consisting : The covariance between Toyota and Honda is 0.03. Using these data, calculate the variance of a portfolio consisting of 50% Toyota and 50% Honda.

Identify appropriate risk management technique : identify an appropriate risk management technique that could have been used to deal with the exposure.

The current price of the stock should be : A firm's earnings and dividends are expected to decline at a constant rate of 7% per year. The current price of the stock should be $

What was the annual increase in the value of the comic book : For this to have been true, what was the annual increase in the value of the comic book?

Oriole expect to receive from the sale of these bonds : Oriole Company is about to issue $281,800 of 9-year bonds paying an 8% interest rate,how much can Oriole expect to receive from the sale of these bonds?

User Account

All Pages