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Elementary,Middle School,High School,College,University,PHD
| Teaching Since: | May 2017 |
| Last Sign in: | 408 Weeks Ago, 3 Days Ago |
| Questions Answered: | 66690 |
| Tutorials Posted: | 66688 |
MCS,PHD
Argosy University/ Phoniex University/
Nov-2005 - Oct-2011
Professor
Phoniex University
Oct-2001 - Nov-2016
Analysing a Portfolio You have €100,000 to invest in a portfolio containing X, Y and a risk-free asset. You must invest all of your money. Your goal is to create a portfolio that has an expected return of 13.5 per cent and which has only 70 per cent of the risk of the overall market. If X has an expected return of 31 per cent and a beta of 1.8, Y has an expected return of 20 per cent and a beta of 1.3, and the risk-free rate is 7 per cent, how much money will you invest in X? How do you interpret your answer?
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