Solution-Expected return and variance of the portfolio

Expected return and variance of the portfolio

Reference no: EM133074659

You have three stocks in your portfolio with the following properties:

Stock	Portfolio Weight	Expected Return	Variance	Correlation With A	Correlation With B	Correlation With C
A	20 percent	5 percent	10 percent	100 percent	20 percent	10 percent
B	50 percent	7 percent	20 percent	20 percent	100 percent	70 percent
C	30 percent	9 percent	35 percent	10 percent	70 percent	100 percent

Compute the expected return and variance of the portfolio.

Reference no: EM133074659

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Expected return and variance of the portfolio

Reference no: EM133074659

Reference no: EM133074659

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