50 370 640 310 1070 870 1520 060 490 2960 910 280 580 070 740 270 970 500 270

50 370 640 310 1070 870 1520 060 490 2960 910 280 580

This preview shows page 40 - 47 out of 47 pages.

-0.50% 3.70% 6.40% 3.10% 10.70% 8.70% 15.20% 0.60% 4.90% 29.60% 9.10% -2.80% -5.80% -0.70% -7.40% 2.70% -9.70% 5.00% 2.70% -9.60% -2.70% -3.30% -8.50% 4.10% 5.30% 4.10% 10.10% 7.80% -2.50% -1.90% -10.90% -0.80% -1.40% 0.40% 7.60% -10.30% -2.30% -6.10% -5.20% 11.40% -6.60% -20.80% 2.80% -0.10% 2.60% 4.80% 12.20% 4.20% 0.20% 11.50% -0.90% -0.50% -3.30% -1.30% -1.20% -2.30% 1.30% 5.20% -0.60% 3.10% 7.20% 5.90% -6.90% -2.60% -6.70% -3.10% 9.80% 8.00% 1.00% 2.30% -2.60% 2.80% -4.60% 8.50% 4.50% -10.20% 3.70% 8.40% 5.10% -0.40% -3.60% -2.00% -7.50% 3.80% -4.10% -3.70% 26.10% 3.50% 1.20% 7.50% 5.60% 10.30% 4.60% 1.60% -1.00% -26.60% -0.30% -4.30% -0.20% 8.30% 4.20% 2.50% 3.40% 2.20% 0.00% 7.20% 1.20% 4.60% 2.30% -2.20% 8.30% 1.50% -6.50% -4.30% 5.90% -2.40% 13.50% 1.10% -1.00% 2.00% 2.10% 4.10% -13.70% -2.80% -5.70% -2.80% 2.60% 22.00% -0.60% -2.60% 0.50% -0.80%
Image of page 40
4.10% 5.20% -0.80% 3.40% 9.90% 9.50% 4.50% -0.30% 5.70% -1.70% -2.70% -6.20% -1.80% -4.60% 7.60% -1.10% 4.40% 4.70% -2.40% -15.40% 4.50% 0.90% 14.90% 17.20% -7.60% 6.50% 0.60% 1.90% 11.70% 11.50% 6.60% 5.90% 4.60% 4.20% -9.10% -4.50% -4.70% 6.60% 0.50% -2.80% 1.20% -0.20% 0.40% 0.50% -2.80% -2.80% 1.00% 7.20% 0.20% 0.90% 6.20% -1.40% 4.90% 8.30% 8.40% 3.80% 4.40% 14.00% 8.70% -0.50% -11.30% -0.90% -3.40% -7.10% -11.60% -16.10% -2.90% -5.60% 1.60% 2.70% -7.20% -6.10% -7.00% -8.40% -5.10% -5.50% -2.90% -5.80% -8.60% -16.50% -0.40% -1.00% 6.90% 7.70% -1.40% 9.00% 1.00% 17.20% 2.60% -3.10% 3.00% 5.00% -0.90% -9.60% -5.00% 8.60% 1.10% 2.60% 4.80% 12.30% -1.50% -2.70% -5.30% 6.00% -1.90% -5.20% -4.90% -1.40% -3.20% -10.60% -0.40% 7.10% 5.10% 6.80% 2.70% -1.60% 5.20% 6.60% -6.20% 4.30% 15.20% 4.60% 9.20% 10.90% 12.20% 1.10% -1.30% 22.30% 6.40% 16.90% 5.30% 0.20% -2.10% 1.60% -11.10% 1.30% -3.00% -1.10% -1.60% -8.00% 0.00% 0.20% 6.00% 0.20% 5.70% 3.10% 9.00% -2.90% 0.60% 9.00% 4.60% -6.70% -0.60% -2.40% -5.30% -3.70% -3.70% -12.70% -6.30% -9.70% 3.20% 4.10% -0.80% -2.40% -1.10% -2.60% -3.60% 2.60% 7.50% -3.90% 5.60% -1.90% 5.60% 3.90% 14.50% -3.80% 2.90% -13.20% 2.20% 14.70% 5.30% 5.40% 2.10% 1.70% 5.40% 12.20% 4.70% 13.00% 4.10% 10.70% 1.30% 6.20% -0.40% 9.00% -0.60% 8.40% 4.50% 7.00% 4.10% -8.90% 0.60% 2.60% 6.00% 3.60% 7.10% 1.60% 2.60% 4.90% 5.80% 6.20% 9.60% 1.40% 2.90% 7.60% 2.30% 4.90% 1.40% -8.80% 4.40% -3.00% 5.20% -4.40% 0.00% 3.20% 3.90% 5.30% -4.20% 15.00% 3.00% 0.90% 5.10% -1.30% -3.60% -3.70% 8.30% 6.30% 1.10% 3.70% 7.50% -6.80% -3.40% -2.70% 0.70% 4.20% 1.70% -0.10% -1.20% 2.70% -0.10% 0.40% 13.00% 3.20% 11.00% 13.20% 10.70% 13.90% -0.40% 12.00% 6.00% 10.10% 2.70% 0.90% 5.70% 0.90% -4.60% -7.80% 5.60% -4.70% 0.40% -5.80% 7.60% 15.80% 6.80% 4.20% 18.20% 16.50% 9.60% 5.10% 6.30% 19.80% 6.60% 1.50% -4.00% 4.00% 5.30% -1.00% 6.30% -5.40% 1.20% -3.00% 6.90% -2.80% 1.70% 2.80% 5.00% 6.40% 3.00% 12.30% 8.20% 26.70% -5.50% 1.70% -2.40% 6.70% 2.10% 9.90% -0.40% 7.30% 5.20% -10.60% -5.50% -0.80% 3.40% -10.40% -1.30% 7.40% 7.50% 10.30% 4.50% 4.70% -2.80% 1.70% 0.20% 2.70% -6.80% 2.60% -0.30% -8.30% -1.60% -2.60% 6.80% 4.50% 4.00% 10.30% 1.50% 2.20% -1.10% -4.80% -0.50% -2.40% 0.50% 1.10% 3.10% 5.70% 9.90% -4.40% 0.10% -7.80% 5.10% 2.70% -0.60% -2.30% -1.00% 0.60% -7.40% -15.70% 1.30% 5.70% -2.20% -11.30% 2.10% 6.50% -0.40% -14.20% 3.00% 7.90% 5.40% 3.40% 0.70% -1.90% 7.80% 1.50% 9.70% 1.30% 13.30% 1.70% 3.70% 5.50% 6.80% 13.70% 5.00% 9.50% 2.00% 2.90% 10.70% 8.10% 10.50% -6.60% 7.00% -7.80% 12.40% 10.30% 9.80% 11.80% 10.60% 3.30% -1.60% 8.70% 9.40% 9.50% -3.60% -0.90% -1.00% 10.60% 0.80% -7.50% -1.00% -11.40% -5.50% 6.00% 13.80% 2.70% 7.50% 5.20% 15.80% 4.30% 7.90% 11.00% 5.30% -7.50% 1.70% 8.50% 3.90% 13.80% 2.40% 13.50% -5.80% 4.50% 8.30% -5.90% -8.10% -8.00% -4.50% -14.70% -10.50% -7.60% 10.70% -6.30% 0.70% 3.60% 7.30% 2.80% 10.00% 3.50% 15.60% -4.20% -3.70% 12.70% -0.20% -5.60% -0.60% 6.20% 9.60% 11.70% -0.60% 2.80% 4.20% -5.90% 6.70% 20.30% 14.30% 11.30% 2.40% 1.50% 14.70% 9.40% -0.30% 0.70% 3.30% 14.20%
Image of page 41
1.50% -7.30% 8.10% 2.00% 14.30% 17.40% 6.70% 17.70% 1.90% 4.10% -11.60% -4.60% -12.50% -3.20% -11.70% -9.70% 0.20% -7.00% -7.30% 7.00% 9.30% 2.90% 3.80% -3.90% 7.60% 0.30% 6.50% -5.10% 3.80% 5.40% -10.70% -1.00% -1.20% -4.70% 2.60% -26.50% -7.10% -6.20% -13.60% -2.30% 6.20% 7.10% 12.00% 9.80% 9.00% 10.00% -0.20% -2.90% 7.50% 13.70% 12.30% -15.80% 4.80% 4.90% 5.90% -1.20% -3.80% -2.70% -2.80% -1.90% 10.70% 1.80% -1.50% -8.30% -8.00% 1.70% -4.00% 2.00% 11.60% 1.70% 8.70% 2.80% 8.30% 4.80% 12.50% 15.70% 7.70% 6.50% 10.30% 3.50% 0.80% 6.70% -0.60% -3.20% 7.90% 8.40% 8.10% 7.90% 3.40% 9.70% -6.00% 3.70% -2.30% -10.90% 2.20% 3.30% 2.30% -3.20% 6.60% 5.00% -2.90% -1.30% 2.10% 0.70% 0.10% 4.60% -5.60% 3.40% -4.10% -10.90% 14.70% -11.30% 8.60% 6.40% -1.00% -1.20% 3.40% 6.90% -1.60% 0.00% 2.05% 1.13% 1.96% 1.64% 3.05% 2.01% 1.18% 2.27% 1.62% 0.45% 6.69% 4.98% 5.83% 7.35% 9.06% 7.85% 4.46% 8.36% 5.84% 8.74%
Image of page 42
WOOLWOR USX CORP -8.90% -6.30% 3.20% 7.80% 5.90% -0.40% -3.70% -7.10% 10.80% 2.70% -1.50% -1.90% -7.20% 4.50% -15.30% -5.90% -7.30% -6.20% 7.90% 4.10% 15.30% 0.70% 3.40% -2.40% 5.00% 2.50% 4.00% -0.10% 2.30% 0.40% -7.80% 2.30% 9.00% -4.90% -7.90% -12.20% -5.20% 12.80% 6.10% 29.10% -5.70% -5.70% 0.10% -3.20% -11.40% -8.50% 4.40% -9.30% 12.30% -6.10% -2.50% 1.00% 7.40% -12.60% -7.60% 15.00% -2.70% 4.20% -1.40% -7.90% 7.00% -1.10% 5.20% -9.40% 7.00% -2.00% 1.60% -8.70% 5.00% -2.70% -7.70% 4.50% -6.20% -1.40% -1.30% 12.00% 9.50% 3.30% -3.40% -5.10% -3.30% 2.30% -7.70% -10.00% -7.20% 4.40%
Image of page 43
3.50% 15.90% -2.90% -1.20% -8.30% -7.50% 2.20% -7.90% 9.70% -2.20% 3.10% 13.20% -15.00% -6.80% -31.30% -4.30% 11.80% 2.30% -5.30% 2.50% 0.80% -2.20% -3.80% 3.70% 7.40% 0.30% 6.90% 2.90% -9.90% 7.30% -8.90% -4.60% 6.20% -9.00% 6.00% -2.30% -3.20% 2.60% 21.30% 7.70% -13.50% 7.10% -3.90% 6.90% -1.60% -0.60% 3.30% 1.90% -14.40% 3.30% 17.80% -4.20% -7.10% -10.10% 2.60% 4.50% -13.30% 6.10% -13.50% -3.80% 6.70% -0.40% 30.20% 4.10% 22.40% 14.30% 7.20% 0.20% 9.80% -8.00% -14.40% 1.90% 10.40% 2.70% -2.90% 3.60% 1.80% 1.20% 14.30% 5.40% -8.30% 4.40% -7.40% 11.50% 2.50% 0.70% 12.00% 4.70% -8.00% -0.90% 12.20% 8.80% -0.50% -3.30%
Image of page 44
18.00% 11.50% -21.00% 1.80% -1.10% 14.20% -14.10% -3.90% 13.80% -3.70% -5.80% -1.50% 6.70% -0.60% 9.20% 3.60% 5.30% 8.90% -8.00% -4.80% -14.10% -1.70% -3.20% -2.00% 0.20% 0.65% 9.93% 6.98%
Image of page 45
1- A Weight Expected Return 17% Risk 27% 70% Risk Free Rate 7% 30% Expected Return 14.00% Risk 18.900% 1- B Target Return 15% y*17%+(1-y)*7% y 80% 20%F 80% 27%A+33%B+40%C Wa 0.8*0.27A Wb 0.8*0.33B Wc 0.8*0.40C 1- C Wp y Wf 1-y Risk <20% y 74.07% 25.93% Investment should be at most should 74% with a risk less than or equal Lets assume y invests 74% to get maximum return Return 14.41% 1- D A 3.5 W# 39.19% C 10.92%
Image of page 46
formulas Portfolio Return - w1*return1+w2*return2 Portfolio Variance - w1^2*var1+w2^2*var2+2*w1*w2*SD1*SD2*cor1&2 Portfolio risk = square root (variance) Sharp Average return of portfolio - risk free rate/sd of portfolio retunr Treynors Average return of portfolio - risk free rate/portfolio Beta Portfolio Beta = Beta of stock *weight of stock Jenson Portfolio Return - (risk free rate+portfolio beta*(market return-risk free rate) to 20%
Image of page 47

You've reached the end of your free preview.

Want to read all 47 pages?

  • Fall '19

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture