Reference no: EM131919992

You have been given the expected return data shown in the first table on three —?F, G, and H over the period? 2016-2019:

2016 10% 11% 8%

2017 11% 10% 9%

2018 12% 9% 10% 2019 13% 8% 11%

Using these? assets, you have isolated the three investment alternatives shown in the following? table

1 ?100% of asset F

2. 50% of asset F and? 50% of asset G

3. 50% of asset F and? 50% of asset H  

a. Calculate the expected return over the? 4-year period for each of the three alternatives.

b. Calculate the standard deviation of returns over the? 4-year period for each of the three alternatives.

c. Use your findings in parts a and b to calculate the coefficient of variation for each of the three alternatives.

d. On the basis of your? findings, which of the three investment alternatives do you? recommend? ? Why?