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The table below shows standard deviations and correlation coefficients for seven stocks from different countries. Calculate the variance of a portfolio with equal investments in each stock. (Use decimals, not percents, in your calculations. Do not round intermediate calculations. Round your answer to 4 decimal places.) \table[[, BHP,,,, Toronto,, ],[, Billiton, Siemens, Nestlé, LVMH, Dominion Bank, Samsung, BP], [BHP Billiton, 1.00, 0.32, 0.42, 0.36, 0.22, 0.36,0.19], [ Siemens,, 1.00, 0.33, 0.22, 0.19, 0.36, -0.09], [Nestlé,,, 1.00, 0.12, 0.13, 0.05, 0.13], [LVMH,,,, 1.00, 0.30, 0.48, -0.04], [ Toronto Dominion Bank,.,., 1.00, 0.07, -0.07], [Samsung,,,,,, 1.00, -0.06], [BP , 22.00, 33.80, 44.80, 20.30, 14.00, 34.50, 42.40], [Standard deviation (%),......]] Portfolio variance c The table below shows standard deviations and correlation coefficients for seven stocks from different countries. Calculate the variance of a portfolio with equal investments in each stock. (Use decimals, not percents, in your calculations. Do not round intermediate calculations. Round your answer to 4 decimal places.) BHP BHP Billiton Siemens Billiton Siemens Nestlé 1.00 LVMH Toronto Dominion Bank Samsung BP 0.32 0.42 0.36 0.22 0.36 0.19 1.00 0.33 0.22 0.19 0.36 -0.09 Nestlé 1.00 0.12 0.13 0.05 0.13 LVMH 1.00 0.30 0.48 -0.04 Toronto Dominion Bank 1.00 0.07 -0.07 Samsung 1.00 -0.06 BP 1.00 Standard deviation (%) 22.00 33.80 44.80 20.30 14.00 34.50 42.40 Portfolio variance

The table below shows standard deviations and correlation coefficients for seven stocks from different countries. Calculate the variance of a portfolio with equal investments in each stock. (Use decimals, not percents, in your calculations. Do not round intermediate calculations. Round your answer to 4 decimal places.) \table[[, BHP,,,, Toronto,, ],[, Billiton, Siemens, Nestlé, LVMH, Dominion Bank, Samsung, BP], [BHP Billiton, 1.00, 0.32, 0.42, 0.36, 0.22, 0.36,0.19], [ Siemens,, 1.00, 0.33, 0.22, 0.19, 0.36, -0.09], [Nestlé,,, 1.00, 0.12, 0.13, 0.05, 0.13], [LVMH,,,, 1.00, 0.30, 0.48, -0.04], [ Toronto Dominion Bank,.,., 1.00, 0.07, -0.07], [Samsung,,,,,, 1.00, -0.06], [BP , 22.00, 33.80, 44.80, 20.30, 14.00, 34.50, 42.40], [Standard deviation (%),......]] Portfolio variance c The table below shows standard deviations and correlation coefficients for seven stocks from different countries. Calculate the variance of a portfolio with equal investments in each stock. (Use decimals, not percents, in your calculations. Do not round intermediate calculations. Round your answer to 4 decimal places.) BHP BHP Billiton Siemens Billiton Siemens Nestlé 1.00 LVMH Toronto Dominion Bank Samsung BP 0.32 0.42 0.36 0.22 0.36 0.19 1.00 0.33 0.22 0.19 0.36 -0.09 Nestlé 1.00 0.12 0.13 0.05 0.13 LVMH 1.00 0.30 0.48 -0.04 Toronto Dominion Bank 1.00 0.07 -0.07 Samsung 1.00 -0.06 BP 1.00 Standard deviation (%) 22.00 33.80 44.80 20.30 14.00 34.50 42.40 Portfolio variance

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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The table below shows standard deviations and correlation coefficients for seven stocks from different countries. Calculate the variance of a portfolio with equal investments in each stock. (Use decimals, not percents, in your calculations. Do not round intermediate calculations. Round your answer to 4 decimal places.) \table[[, BHP,,,, Toronto,, ],[, Billiton, Siemens, Nestlé, LVMH, Dominion Bank, Samsung, BP], [BHP Billiton, 1.00, 0.32, 0.42, 0.36, 0.22, 0.36,0.19], [ Siemens,, 1.00, 0.33, 0.22, 0.19, 0.36, -0.09], [Nestlé,,, 1.00, 0.12, 0.13, 0.05, 0.13], [LVMH,,,, 1.00, 0.30, 0.48, -0.04], [ Toronto Dominion Bank,.,., 1.00, 0.07, -0.07], [Samsung,,,,,, 1.00, -0.06], [BP , 22.00, 33.80, 44.80, 20.30, 14.00, 34.50, 42.40], [Standard deviation (%),......]] Portfolio variance c The table below shows standard deviations and correlation coefficients for seven stocks from different countries. Calculate the variance of a portfolio with equal investments in each stock. (Use decimals, not percents, in your calculations. Do not round intermediate calculations. Round your answer to 4 decimal places.) BHP BHP Billiton Siemens Billiton Siemens Nestlé 1.00 LVMH Toronto Dominion Bank Samsung BP 0.32 0.42 0.36 0.22 0.36 0.19 1.00 0.33 0.22 0.19 0.36 -0.09 Nestlé 1.00 0.12 0.13 0.05 0.13 LVMH 1.00 0.30 0.48 -0.04 Toronto Dominion Bank 1.00 0.07 -0.07 Samsung 1.00 -0.06 BP 1.00 Standard deviation (%) 22.00 33.80 44.80 20.30 14.00 34.50 42.40 Portfolio variance
Transcribed Image Text:The table below shows standard deviations and correlation coefficients for seven stocks from different countries. Calculate the variance of a portfolio with equal investments in each stock. (Use decimals, not percents, in your calculations. Do not round intermediate calculations. Round your answer to 4 decimal places.) \table[[, BHP,,,, Toronto,, ],[, Billiton, Siemens, Nestlé, LVMH, Dominion Bank, Samsung, BP], [BHP Billiton, 1.00, 0.32, 0.42, 0.36, 0.22, 0.36,0.19], [ Siemens,, 1.00, 0.33, 0.22, 0.19, 0.36, -0.09], [Nestlé,,, 1.00, 0.12, 0.13, 0.05, 0.13], [LVMH,,,, 1.00, 0.30, 0.48, -0.04], [ Toronto Dominion Bank,.,., 1.00, 0.07, -0.07], [Samsung,,,,,, 1.00, -0.06], [BP , 22.00, 33.80, 44.80, 20.30, 14.00, 34.50, 42.40], [Standard deviation (%),......]] Portfolio variance c The table below shows standard deviations and correlation coefficients for seven stocks from different countries. Calculate the variance of a portfolio with equal investments in each stock. (Use decimals, not percents, in your calculations. Do not round intermediate calculations. Round your answer to 4 decimal places.) BHP BHP Billiton Siemens Billiton Siemens Nestlé 1.00 LVMH Toronto Dominion Bank Samsung BP 0.32 0.42 0.36 0.22 0.36 0.19 1.00 0.33 0.22 0.19 0.36 -0.09 Nestlé 1.00 0.12 0.13 0.05 0.13 LVMH 1.00 0.30 0.48 -0.04 Toronto Dominion Bank 1.00 0.07 -0.07 Samsung 1.00 -0.06 BP 1.00 Standard deviation (%) 22.00 33.80 44.80 20.30 14.00 34.50 42.40 Portfolio variance
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