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    Ankit Aggarwal
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    The document contains tables and charts showing the expected return and standard deviation for two securities (A and B) and their portfolio at different proportions. It shows that as the proportion of the higher risk/return security B increases, the expected return of the portfolio increases while the standard deviation also increases, demonstrating the risk-return tradeoff of the portfolio.

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    The document contains tables and charts showing the expected return and standard deviation for two securities (A and B) and their portfolio at different proportions. It shows that as the proportion of the higher risk/return security B increases, the expected return of the portfolio increases while the standard deviation also increases, demonstrating the risk-return tradeoff of the portfolio.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as XLSX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as xlsx, pdf, or txt
    11 views4 pages

    2 Risky Assets

    Uploaded by

    Ankit Aggarwal
    The document contains tables and charts showing the expected return and standard deviation for two securities (A and B) and their portfolio at different proportions. It shows that as the proportion of the higher risk/return security B increases, the expected return of the portfolio increases while the standard deviation also increases, demonstrating the risk-return tradeoff of the portfolio.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as XLSX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as xlsx, pdf, or txt
    of 4

    Expected Return

    Security A
    Security B
    Portfolio
    1
    2
    3
    4
    5
    6

    12
    20
    Proportion of A(W1)
    1.00
    0.90
    0.76
    0.50
    0.25
    0.00

    Co-efficient of
    Correlation

    Standard Deviation
    20
    -0.2
    40
    Proportion of B(W2) Expected Return
    Standard Deviation
    0.00
    12.00
    20.00
    0.10
    12.80
    17.64
    0.24
    13.92
    16.27
    0.50
    16.00
    20.49
    0.75
    18.00
    29.41
    1.00
    20.00
    40.00

    Expected Return
    25.00
    20.00
    15.00
    Expected Return

    10.00
    5.00
    0.00
    0.00

    10.00

    20.00

    30.00

    40.00

    50.00

    Standard Deviation
    Expected Return
    20.00
    12.00
    17.64
    12.80
    16.27
    13.92
    20.49
    16.00
    29.41
    18.00
    40.00
    20.00
    25.00
    20.00
    15.00
    10.00
    5.00
    0.00
    0.00

    10.00

    20.00

    Expected Return

    Expected Return

    20.00

    30.00

    40.00

    50.00

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