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Exercises_4_Assignment - Plot the efficient portfolio...

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Financial Math Programming Professor Antonio Rivela Do the following exercises in groups. EXERCISES 4 – OCTAVE / MATLAB @ Deadline: 14 Oct. Before session. Deliver the files in the digital dropbox. Call the .m file -> group_x_4.m (if you are group x). group_a_4.m (if you are group a). EXERCISE 1: Portfolio Theory Calculate and plot the efficient portfolio curve. Inputs for the function are the stock prices data. Function outputs the return, volatility and weights of each of the portfolios from c=-3 to c=8
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Unformatted text preview: Plot the efficient portfolio curve (plot command) function[return,volatility,weights, c]=portfolio(stock_prices) EXERCISE 2: Derivatives Build a Black&Scholes call option premium function. function[premium]=BlackScholesPrice(S,X,T,r,v) EXERCISE 3: Statistics Build a variance/covariance function. Using the population (n) not the sample /(n-1). Call it cov3.m You are not allowed to use the Octave cov funcion function[matrix]=cov3(stock_prices) 1...
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