The table below shows the historical rates of return (including dividends) for two stocks: Year, Stock A, Stock B 2022, 3%, -3% 2021, 12%, 23% 2020, 8%, 20% 2019, 4%, -12% Stock A makes up 40% of the value of portfolio, and stock B makes up the rest. Calculate the portfolio return for each year. What was the portfolio return in 2022? What was the portfolio return in 2021? What was the average annual portfolio return over all years? What was the standard deviation of annual portfolio returns?
The table below shows the historical rates of return (including dividends) for two stocks: Year, Stock A, Stock B 2022, 3%, -3% 2021, 12%, 23% 2020, 8%, 20% 2019, 4%, -12% Stock A makes up 40% of the value of portfolio, and stock B makes up the rest. Calculate the portfolio return for each year. What was the portfolio return in 2022? What was the portfolio return in 2021? What was the average annual portfolio return over all years? What was the standard deviation of annual portfolio returns?
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
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The table below shows the historical
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