What is the portfolio expected return

Q: Find the variance &Standard deveation of the portfolio

A: Excel Spreadsheet:

Q: What does the volatility value represents?

A: Volatility for a given product or market index is a factual proportion of the scattering of profits.…

Q: how to calculate the average monthly return for a portfolio

A: The return of the portfolio is the weighted average return of the individual securities held in the…

Q: What is the expected return on a two asset portfolio and what are its variance and standard…

A: Two Asset portfolio: The portfolio that has 2 assets is called as two asset portfolio.

Q: Give the arguments for active portfolio management

A: An active portfolio manager is an investor that buys and sells stocks in order to outperform a…

Q: (4) What is a replicating portfolio? What isarbitrage?

A: Replicating Portfolio It's a pool of assets generated for replicating the pool of liabilities' cash…

Q: what is a zero cost strategy in portfolios

A: A zero cost strategy is a business strategy or decision that doesn’t have nay expenses. It doesn’t…

Q: what is portfolio load

A: Introduction : In simple words, when an individual or an entity purchase and collect different kinds…

Q: Example or scenario of market portfolio?

A: The question is based on the concept of market portfolio, which  is a bundle of  all the assets…

Q: When would I use the arithmetic average risk premium (as opposed to the geometric risk premium)?

A: The arithmetic average risk premium is calculated as the difference between the average return of an…

Q: f cor

A: Introduction : In statistics, correlation or dependency refers to any statistically link among two…

Q: What is The Relationship between Interest Rate Risk, Default Risk, and Risk Premiums

A: Risk refers to the chances of any changes in the prices of securities underlying with an investor…

Q: How do maturity risk premiums affect the yield curve?

A: A premium, which a borrower pays to the lender in the form of compensation of interest rate…

Q: What is meant by the risk structure of interest rates?

A: The term "risk structure of interest rates," often referred to as the "yield curve," refers to the…

Q: What is the difference between active and passive portfolio management

A: Active Portfolio management is process of managing assets which are created with the aim of…

Q: Briefly explain on elements of Modern Portfolio Theory.

A: Modern portfolio theory brings correlation between risk and return for investors.

Q: Explain the relationship between risk and return in portfolio management!

A: Risk refers to an adverse possibility of something to get happen. Risk is the possibility of loss.…

Q: Can someone give an example or scenarios about the following: 1. Efficient portfolio2. Market…

A: The optimal portfolio is known as an efficient portfolio. It provides the best-expected return with…

Q: What are the benefits and advantages of diversification for a portfolio?

A: Diversification of portfolio means allocating investments to different assets so that there is…

Q: Conceptually, how does an investor choose his or her optimal portfolio?

A: The point where any of the ‘indifference curve’ are tangent to the efficient set of portfolios is…

Q: Is the risk-free rate the Treasury yield?

A: The risk-free rate refers to the rate of return on an investment that is having zero risk of loss.…

Q: what does Market's Risk premium measure

A: Market's Risk premium is an important term used in the capital asset pricing model equation (CAPM)…

Q: 1. What are some fixed-income portfolio benchmarks available and why are they used?

A: Market-capitalization-weighted indices like Citigroup World Government Bond Index and Barclays…

Q: Which are the Elements of Portfolio Theory?

A: Portfolio theory: The theory of portfolio is about risk and return. The investor is concerned…

Q: It is the uncertainty of future returns

A: A return can be defined as the money made on money invested over some period of time. A return can…

Q: portfolio income includes

A: The objective of the question is to understand the components that make up portfolio income in the…

Q: types of investmestment in a portfolio management

A: Portfolio management means selection and building of investments that helps to meet long term…

Q: Explain Risk Premiums, Interest Rate Risk, and Default Risk?

A: Risk premium: A risk premium is nothing but the return above the risk-free rate of return that an…

Q: What is CAPM and how it used in portfolio management?

A: Risk and return are the two main parts of any investment and before investing in any security or…

Q: What is hedge portfolio?

A: Hedge portfolio It consists of the long position in a security i.e stock and also the long position…

Q: how to calculate portfolio beta?

A: Beta is used while calculating the volatility of the investment. It measures the systematic risk of…

Q: What is the purpose of portfolio management?

A: A portfolio is a systematic method of selection of investment mix to get benefit with a limited risk…

Treasury Market

On-the-run securities are the most recently issued securities in the market depth and are therefore traded at some premium. The off-the-run securities are the ones issued just before the most recent ones. The on-the-run securities have a lower yield to the investor than the off-the-run securities.