Calculate the expected return and expected risk of the portfolio below given the Asset J and Asset K has a correlation coefficient of +0.8. Asset Asset J Asset K Expected Return 8.0% 14.0% Weighting 60% 40% Risk of each asset 12.0% 21.0%

An asset has normally-distributed returns, with mean of 10.6% and standard deviation of 14.8%. What is the 2% VaR (value at risk) return? Enter answer in percents.

Consider the case of two financial assets and three market conditions (states). The tablebelow gives the respective probability for each market condition and the return of each assetin each one of them.                                                          Market Conditions State Recession  Normal Expansion Probability of state 30% 40%  30% Return of asset A -30%  20% 55% Return of asset B -10%  70% 0% Consider the portfolio with 50% investment in each of the two assets above. Calculatethe expected return and the standard deviation of the portfolio.

Required Return If the risk-free rate is 10.2 percent and the market risk premium is 4.4 percent, what is the required return for the market?   Multiple Choice A. 5.8% B. 4.4% C. 14.6% D. 10.2%

What is the standard deviation of the portfolio that invests equally in all three assets​ M, N, and​ O?

Expected return (Kj)

Asset Y has a beta of 1.2. The risk-free rate of return is 6 percent, while the return on the market portfolio of assets is 12 percent. The asset's market risk premium is

WHAT IS ECONOMIC LIFE OF ASSET?

What is the expected return on asset A if the expected return on the market is 8%, the risk-free rate is 4%, and the Beta of asset A is 2? You want to use Capital Asset Pricing Model (CAPM) Group of answer choices A) 12% B) 20% C) 16%

2. Assuming the following: Average Return (Risky Portfolio) 3.86% Standard Dev (Risky Portfolio) 10.56% Average Risk Free Rate 2.18% Return on Risk Free Asset Avg 4.15% Using the formula: E(rc)=rf + y* (E(rp) - rf) Solve for:  1. % of Risky Assets (y): 2. % of Risk Free Assets (1-y): Note: You wish to generate a 7% return for your complete portfolio E(rc)