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Solve expected return and standard deviation using m group

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Reference no: EM132606635

Question 1: Using the following information for an M2 Group Limited share, calculate their expected return and standard deviation. State Probability Return Boom 20% 40% Normal 60% 15% Recession 20% (20%)

Question 2: You are considering investing in a portfolio consisting of 40% Electric General and 60% Buckstar. If the expected rate of return on Electric General is 16% and the expected return on Buckstar is 9%, what is the expected return on the portfolio?

Question 3: The expected return on MSFT next year is 12% with a standard deviation of 20%. The expected return on AAPL next year is 24% with a standard deviation of 30%. If James makes equal investments in MSFT and AAPL, what is the expected return on his portfolio?

Question 4: If you hold a portfolio made up of the following shares: Investment Value Beta Share A $2,000 1.5 Share B $5,000 1.2 Share C $3,000 .8 What is the beta of the portfolio?

Reference no: EM132606635

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