If your portfolio is invested in 40% Alpha, 40% Beta, and 20% in Delta, what is the expected return of the portfolio? The variance of the portfolio? The standard deviation? Economy: boom,normal,bust Probability--25%,60%,15%. Alpha Stock Return: 13%,8%,2%. Beta returns: 29%,11%,-18.00%. Delta returns: 60%,13%,-45.00%

If your portfolio is invested in 40% Alpha, 40% Beta, and 20% in Delta, what is the expected return of the portfolio? The variance of the portfolio? The standard deviation? Economy: boom,normal,bust Probability--25%,60%,15%. Alpha Stock Return: 13%,8%,2%. Beta returns: 29%,11%,-18.00%. Delta returns: 60%,13%,-45.00%

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter8: Analysis Of Risk And Return

Section: Chapter Questions

Problem 18P

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