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

Inverse of a matrix, Explain Inverse of a matrix, need assignment help.

Explain Inverse of a matrix, need assignment help.

Sphere and cone, How tall does a cone with diameter of 10 inches have to be...

How tall does a cone with diameter of 10 inches have to be to fit exactly half of a sphere with a diameter of 10 inches inside it?

Determine the relation is partially ordered, Determine if the relation repr...

Determine if the relation represented by the following Boolean matrix is partially ordered. Ans: Let the following relation R is defined on set A = {x, y, z}. To test if t

The sum of two consecutive integers is 41 integer, The sum of two consecuti...

The sum of two consecutive integers is 41. What are the integers? Two consecutive integers are numbers in sequence like 4 and 5 or -30 and -29, that are each 1 number apart. Le

What was brian''s total commission on these three sales, Brian is a real es...

Brian is a real estate agent. He forms a 2.5% commission on each sale. During the month of June he sold three houses. The houses sold for $153,000, $299,000, and $121,000. What was

#Famous Numbers Exercise, Euler''s Constant (e) Approximate the number to t...

Euler''s Constant (e) Approximate the number to the one hundredth, one ten-thousandths, and one one-hundred-millionth.

Order of Operations with Fractions, 1.)3 3/8 divided by 4 7/8 plus 3 2.)4 ...

1.)3 3/8 divided by 4 7/8 plus 3 2.)4 1/2 minus 3/4 divided by 2 3/8

Geometry, RS=8y+4 ST=4y+8 RT=15y-9 a.) WHAT IS THE VALUE OF y b.) FIND RS...

RS=8y+4 ST=4y+8 RT=15y-9 a.) WHAT IS THE VALUE OF y b.) FIND RS, ST, AND RT

Conic-section , How will you find the vertex of a parabola given in 2nd de...

How will you find the vertex of a parabola given in 2nd degree form (the axis of parabola is not parallel to coordinate axes)? Ans) Write the equation in type of standard form.

Pre Calculus, 5 2 ----- - ----- x-1 x+1 ------------------...

5 2 ----- - ----- x-1 x+1 -------------------- x 1 ----- + ----- x-1 x+1

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