User Account

All Pages

Management, Mathematics

Assignment Help:
An investment manager at TD Ameritrade is making a decision about a $10,000,000 investment. There are four portfolio options available and she is looking at annual return of these portfolios to choose one. Market has four possible situations: bad, average, good, and excellent. Each portfolio may have a different estimated rate of return under a known market situation. For “Bad”, “Average”, “Good”, and “Excellent” market, “Option 1” has return rates of 33%, 28%, 1%, and loss of 15% respectively. These numbers are 22%, 12%, 17%, and loss of 5% for “Option 2”, 8%, 9%, 14%, and 16% for “Option 3”, and finally for “Option 4” these rates are loss of 2%, 5%, 12%, and 35% under “Bad”, “Average”, “Good”, and “Excellent” market situations.
a. Compare the outcomes for all portfolios under any market situation. What is the best portfolio under Minimax Regret rule?
b. Does the outcome change if the investment decision was made based on the expected value of portfolios? Why? Probabilities for bad, average, good, and excellent market situations are 35%, 22%, 25%, and 18% respectively.

Related Discussions:- Management

Slopes downward from left to right has a positive slope, Can you explain th...

Can you explain that it is true that a line that slopes downward from left to right has a positive slope?

Cirlce Division, How can i calculate arc length for dividing a circle into ...

How can i calculate arc length for dividing a circle into 10 parts

Determine the probability, Determine the Probability From a pack of pl...

Determine the Probability From a pack of playing cards what is the probability of; (i)  Picking either a 'Diamond' or a 'Heart' → mutually exclusive (ii) Picking either

Marketing research, Discuss the role research would play during your decisi...

Discuss the role research would play during your decision making

Equations in linear algebra and matrices, Equations in linear algebra and m...

Equations in linear algebra and matrices What is Equations in linear algebra and matrices?

Critical point of exponential functions and trig functions, Critical point ...

Critical point of exponential functions and trig functions, Let's see some examples that don't just involve powers of x. Example:  find out all the critical points for the

Slope, #question.Find the slope of the line that passes through (7, 3) and ...

#question.Find the slope of the line that passes through (7, 3) and (9, 6). Simplify your answer and write it as a proper fraction, improper fraction, or integer. .

MATH EXPERT, MATH

MATH

Advance Linear Programming, how do we solve multiple optimal solution

how do we solve multiple optimal solution

Solve the initial value by laplace transform method, Question: Solve the i...

Question: Solve the initial value problem 2x'' +x'-x =27 Cos2t +6 Sin 2t, x(0)=2 , x'(0)= -2 by using Laplace transform method.

Write Your Message!

Captcha
Order Assignment

Featured Services

Order Now

Popular Subjects

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +91-977-207-8620

Phone: +91-977-207-8620

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd