Standard deviation-risk measure of the portfolio

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Reference no: EM132038479

1-assume a 2 asset portfolio consisting of the following:

A-50 percent investment Expected Return 10percent Variance is 400

B-50% investment expected return 5 percent variance is 25

assume a coefficient of correlation of

1-0

2--1

3- +1

4- +.60

Find the expected return and standard deviation-risk measure of the portfolio in cases 1,2,3,4

Which of the 4 is the most efficient and why?

Reference no: EM132038479

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