- Calculate the average rate of return for each stock during the period 2011 through 2015.
- Assume that someone held a portfolio consisting of 50% of stock A and 50% of stock B.
- What would the realized rate of return on the portfolio have ben each year? What would
- the average return on the portfolio have been during this period?
- Calculate the standard deviation of returns for each stock and for the portfolio.
- Calculate the coefficient of variation for each stock and for the portfolio.
- Assuming you are risk-averse investor, would you prefer to hold stock A , stock B, or the
- portfolio? Why?
"Not answered?"
