What weights will result in a portfolio variance of zero

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Assume that your data are normally. distributed and you calculate a mean of 0.06 and a standard deviation of 0.005. What is a 99% confidence interval around the mean?

If you have $500 invested in the risk free rate with an expected return of 3%, $100 invested in A company with an expected return of 9%, $250 invested in B company with an expected return of 15% and $150 invested in C company with an expected return of 11%, what is the expected return of your portfolio?

Assume the returns of X and Y are perfectly correlated with each other but not with the market portfolio. Consider the following investment positions: A. 100% in the risk-free asset B. 100% in the market portfolio C. 100% in Stock X D. 100% in Stock Y E. 50% in the risk-free asset and 50% in the market portfolio F. 50% in Stock X and 50% in Stock Y G. 50% in the risk-free asset and 50% in Stock Y. Which of the following three positions will NOT plot along a straight line in standard deviation-return space?

Standard deviation of returns for stock A is 0.3, the standard deviation of returns for stock B is 0.4, and the correlation of returns for stocks A & B is -1. What weights will result in a portfolio variance of zero?

Reference no: EM131188126

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