Find the tangency portfolio from the investment

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Reference no: EM133558122

Question: Find minimum variance portfolio from the investment opportunity set drawn in (3). Specify the weights for stocks 1 and 2 for this portfolio. 10 6. Download risk-free rates (for example, 1-month Treasury yields) for the same period and same frequency with the two stocks. Calculate mean risk-free rate in your sample. By using this mean risk-free rate, draw the capital allocation line (CAL) and your new efficient frontier on the plane of expected returns and standard deviations. Find the tangency portfolio from the investment opportunity set drawn in (3). Specify the weights for stocks 1 and 2 for this portfolio.

Reference no: EM133558122

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