2. Using Python, construct four portfolios with the following compositions: (1) 30% IBM and 70% KO, (2) 40% IBM and 60% DIS, (3) 80% KO and 20% DIS, and (4) 20% IBM, 40% KO, and 40% DIS. Retrieve daily stock prices from January 1, 2017, to December 31, 2022, and calculate the annualized expected return, annualized volatility, and beta relative to the S&P 500 index for each portfolio using statsmodels for regression analysis.
2. Using Python, construct four portfolios with the following compositions: (1) 30% IBM and 70% KO, (2) 40% IBM and 60% DIS, (3) 80% KO and 20% DIS, and (4) 20% IBM, 40% KO, and 40% DIS. Retrieve daily stock prices from January 1, 2017, to December 31, 2022, and calculate the annualized expected return, annualized volatility, and beta relative to the S&P 500 index for each portfolio using statsmodels for regression analysis.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Transcribed Image Text:2. Using Python, construct four portfolios with the following compositions: (1) 30% IBM and 70% KO,
(2) 40% IBM and 60% DIS, (3) 80% KO and 20% DIS, and (4) 20% IBM, 40% KO, and 40% DIS.
Retrieve daily stock prices from January 1, 2017, to December 31, 2022, and calculate the annualized
expected return, annualized volatility, and beta relative to the S&P 500 index for each portfolio using
statsmodels for regression analysis.
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