Quantitative finance, finance, Other Engineering

A fund manager’s high growth portfolio is made up of 80% (w1) in shares and 20% (w2 ) in bonds. Over the course of year 2010, the returns from each asset class are expected to have the following characteristics:

• 7% p.a. expected mean return from shares
• 3% p.a. expected mean return from bonds
• 9% p.a. standard deviation of returns from shares
• 5% p.a. standard deviation of returns from bonds
• zero covariance of share and bond returns.

Calculate:
(a) the variance of the portfolio
(b) the expected return on the portfolio.
Posted Date: 2/29/2012 9:19:44 AM | Location : United States







Related Discussions:- Quantitative finance, finance, Assignment Help, Ask Question on Quantitative finance, finance, Get Answer, Expert's Help, Quantitative finance, finance Discussions

Write discussion on Quantitative finance, finance
Your posts are moderated
Related Questions
explain working of 3 phase converter?

Centrifugal flow - Compressors in Aircraft: The centrifugal impeller is rotated at high speed by the turbine and centrifugal action causes the air between the impeller vanes to

all about pepsi company symbol PEP 1. What is the name of the company? What is the industry sector? 2. What are the operating risks of the company? 3. What is the financial risk

Working of bi- CMOS invertor in vlsi

routing sheet for rh shaft


Illustrate the importance of communication in a retail business organisation?25 marks

obtain the polyphase structure H(Z)=1-3Z^-1/1+4Z^-1

how can decrease the power factor of any electric circuit

what is clampers and how many types