ZuoTi.Pro
Question

3) the standard deviation of the market return is 20%. What is the standard deviation of returns on a well-diversified What is the standard deviation of retuns on a well-diversified Avell-diversified portfolio has a standard deviation of 15%. What is portfolio with a beta of 1.3? portiolio with a beta of 0? its beta? A poorly diversified portfolio has a standard deviation of 20%. What can you say about its beta?
business   finance   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

deviation divided UH tん1 ·tand aud dev^ ation the maiKeb Ve. heん beta than Please cate ths ans wer ッ

7 0
Add a comment
Know the answer?
Add Answer to:
3) the standard deviation of the market return is 20%. What is the standard deviation of...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • Suppose the standard deviation of the market return is 15%. a. What is the standard deviation...

    Suppose the standard deviation of the market return is 15%. a. What is the standard deviation of returns on a well-diversified portfolio with a beta of 8? (Enter your answer as a percent rounded to the nearest whole number) Standard deviation b. What is the standard deviation of returns on a well-diversified portfolio with a beta of 0? (Enter your answer as a percent rounded to the nearest whole number.) Standard deviation c. A well-diversified portfolio has a standard deviation...

  • Suppose the standard deviation of the market return is 16%. a. What is the standard deviation...

    Suppose the standard deviation of the market return is 16%. a. What is the standard deviation of returns on a well-diversified portfolio with a beta of 0.9? (Enter your answer as a percent rounded to 2 decimal places.) b. What is the standard deviation of returns on a well-diversified portfolio with a beta of O? (Enter your answer as a percent rounded to 2 decimal places.) c. A well-diversified portfolio has a standard deviation of 11%. What is its beta?...

  • Question 20 5 pts If the standard deviation of returns on the market is 20 percent,...

    Question 20 5 pts If the standard deviation of returns on the market is 20 percent, and the beta of a well-diversified portfolio is 1.5, calculate the standard deviation of this portfolio. 20 percent. 10 percent. 15 percent. 30 percent.

  • Stock X has an expected return of 15%, standard deviation of 20%, beta of 0.8. Stock...

    Stock X has an expected return of 15%, standard deviation of 20%, beta of 0.8. Stock Y has an expected return of 20%, a standard deviation of 40% and a beta of 0.3, and a correlation with stock X of 0.6. Assume the CAPM holds. a. If you are a typical, risk-averse investor with a well-diversified portfolio, which stock would you prefer? b. What are the expected return and standard deviation of a portfolio consisting of 30% of stock X...

  • The market portfolio has an expected return of 11.5 percent and a standard deviation of 21.5...

    The market portfolio has an expected return of 11.5 percent and a standard deviation of 21.5 percent. The risk-free rate is 4.5 percent.    a. What is the expected return on a well-diversified portfolio with a standard deviation of 8.5 percent? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places (e.g., 32.16).)      Expected return %    b. What is the standard deviation of a well-diversified portfolio with an expected return of 19.5...

  • The market portfolio has an expected return of 12.3 percent and a standard deviation of 22.3...

    The market portfolio has an expected return of 12.3 percent and a standard deviation of 22.3 percent. The risk-free rate is 5.3 percent. a. What is the expected return on a well-diversified portfolio with a standard deviation of 9.3 percent? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. What is the standard deviation of a well-diversified portfolio with an expected return of 20.3 percent? (Do not round intermediate...

  • Given a market portfolio with an expected return of 10% and standard deviation of 20% and...

    Given a market portfolio with an expected return of 10% and standard deviation of 20% and a risk-free rate of 5%, A. According to the Capital Market Line what is the expected return of a portfolio with a 30% standard deviation? B. What is the beta of the market portfolio? Enter your answer as a percent. Do not include the % sign. Round your final answer to two decimals.

  • Stocks A and B each have an expected return of 15%, a standard deviation of 20%,...

    Stocks A and B each have an expected return of 15%, a standard deviation of 20%, and a beta of 1.2. The returns on the two stocks have a correlation coefficient of -1.0. You have a portfolio that consists of 50% A and 50% B. Which of the following statements is CORRECT? The portfolio's standard deviation is zero (i.e., a riskless portfolio). The portfolio's beta is greater than 1.2. The portfolio's standard deviation is greater than 20%. The portfolio's expected...

  • 1. Given a market portfolio with an expected return of 10% and standard deviation of 20%...

    1. Given a market portfolio with an expected return of 10% and standard deviation of 20% and a risk-free rate of 5%, according to the Capital Market Line what is the expected return of a portfolio with a 30% standard deviation? Enter your answer as a percent. Do not include the % sign. Round your final answer to two decimals. 2.  What is the corresponding beta of the market portfolio?

  • Stock X has a 10.0% expected return, a beta coefficient of 0.9, and a 35% standard...

    Stock X has a 10.0% expected return, a beta coefficient of 0.9, and a 35% standard deviation of expected returns. Stock Y has a 13.0% expected return, a beta coefficient of 1.3, and a 30% standard deviation. The risk-free rate is 6%, and the market risk premium is 5%. Calculate each stock's coefficient of variation. Do not round intermediate calculations. Round your answers to two decimal places. CVx = CVy = Which stock is riskier for a diversified investor? For...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT