please provide that correct. thank you. Problem 11-27 Portfolio Standard DeviationSecurity F has an expected return of 11.1 percent and a standard deviation of 44.1 percentper year. Security G has an expected return of 16.1 percent and a standard deviation of63.1 percent per year.a. What is the expected return on a portfolio composed of 29 percent of Security F and71 percent of Security G? (Do not round intermediate calculations and enter youranswer as a percent rounded to 2 decimal places, e.g., 32.16.)b. If the correlation between the returns of Security F and Security G is .24, what is thestandard deviation of the portfolio described in part (a)? (Do not round intermediatecalculations and enter your answer as a percent rounded to 2 decimal places, e.g.,32.16.)a. Expected returnb. Standard deviation14.6560.91 %< Prev8 of 11Next >

Expected return on portfolio = 14.65%Standard deviation = 49.45%Explanation:Step 1: Definition of…

Answered: Problem 11-27 Portfolio Standard…

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter8: Analysis Of Risk And Return

Section: Chapter Questions

Problem 13P

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QUESTION 12 Use the table below to answer questions 12 through 15. What is the portfolio tracking error? O A. 81.35 basis points OB. 86.35 basis points O C. 83.35 basis points D. 80.35 basis points Month January February March April May June July August September October November December Portfolio A's Return (%) 2.15 0.89 1.15 -0.47 1.71 0.10 1.04 2.70 0.66 2.15 -1.38 -0.59 Benchmark Index Return (%) 1.65 -0.10 0.52 -0.60 0.65 0.33 2.31 1.10 1.23 2.02 -0.61 -1.20
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