subject
Business, 05.07.2021 19:50 nettaboo9262

Given the following information: A smart investor is operating in a global market that includes two securities, A and B. from two major markets
A has an expected return of 159 and a standard deviation of 10%.
B has an expected return of 20% and a standard deviation of 15%.
A and B are perfectly negatively correlated.
Compute the relevant weights to construct an international portfolio with zero riskand obtain the return on such a portfolio
The relevant weights for A and B to construct a portfolio of zero risk are:
A. 1/5: 4/5
B. 3/5: 2/5
C. 2/5: 3/5
D. 24/25 1/25

ansver
Answers: 3

Another question on Business

question
Business, 21.06.2019 18:30
Following is stanley black & decker’s income statement for 2016 (in millions): stanley black & decker, inc. income statement for the year ended december 31, 2016 ($ millions) sales $11,406.9 cost of goods sold 7,139.7 gross profit $ 4,267.2 selling, general and administrative expenses 2,602.0 other operating expenses 268.2 operating income 1,397.0 interest and other nonoperating expenses 171.3 income before income tax 1,225.7 income tax expense 261.2 net income $ 964.5 compute stanley black & decker’s gross profit margin.
Answers: 1
question
Business, 22.06.2019 04:30
Jennifer purchased a house in a brand new development in the outskirts of town. when her house was built, the nearest fire department was nearly 20 miles away. as her neighborhood developed, the density of the community called for a new fire department 1.5 miles away. what effect will the new fire station have on her homeowners insurance premium? a. a new fire department will be more demanding on local taxes. her annual premium will go up. b. the location of a fire department has no bearing on the value of her house. her annual premium will stay the same. c. the new fire department will reduce the risk of financial loss in her home. her annual premium should decrease. d. with a fire department so close (less than 5 miles), financial risk on jennifer’s home practically disappears. she will not need to pay insurance anymore.
Answers: 1
question
Business, 22.06.2019 11:00
Samantha is interested in setting up her own accounting firm and wants to specialize in the area of accounting that has experienced the most significant growth in recent years. which area of accounting should she choose as her specialty? samantha should choose as her specialty.
Answers: 1
question
Business, 22.06.2019 16:40
Job applications give employers uniform information for all employees,making it easier to
Answers: 1
You know the right answer?
Given the following information: A smart investor is operating in a global market that includes two...
Questions
question
Mathematics, 22.04.2021 20:30
question
Mathematics, 22.04.2021 20:30
question
Mathematics, 22.04.2021 20:30
question
Chemistry, 22.04.2021 20:30
question
English, 22.04.2021 20:30
question
Mathematics, 22.04.2021 20:30
question
Mathematics, 22.04.2021 20:30