- The Optimal Risky Portfolio Has A Sharpe Ratio Of 0 8 And A Standard Deviation Of 20 The Minimum Variance Portfolio In 1 (28.88 KiB) Viewed 35 times
The optimal risky portfolio has a Sharpe ratio of 0.8 and a standard deviation of 20%. The minimum variance portfolio in
-
answerhappygod
- Site Admin
- Posts: 899559
- Joined: Mon Aug 02, 2021 8:13 am
The optimal risky portfolio has a Sharpe ratio of 0.8 and a standard deviation of 20%. The minimum variance portfolio in
The optimal risky portfolio has a Sharpe ratio of 0.8 and a standard deviation of 20%. The minimum variance portfolio in the market has a standard deviation of 15% and an expected return of 12%. The risk-free rate is 1%. Alex is close to her retirement and willing to take on a low level of risk, with a maximum standard deviation of 10%. With an initial investment of $50,000, the maximum value her portfolio can achieve in one year's time is: $ . (assume all returns are quoted on annual basis.)