How do you find the variance of a 3 asset portfolio in


1. You buy a 7-year 3% coupon bond when 7-year treasuries are 2.5% and the credit spread is 150 bps. the interest is paid semi-annually. what is the price for the bond that you have purchased?

2. How do you find the variance of a 3 asset portfolio in excel?

3. At the beginning of each quarter, payments of $600 will be made for 8 consecutive quarters, with first deposit due immediately. Using nominal interest rate of 11% converted semi-annually, calculate the present value of the annuity.

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Financial Management: How do you find the variance of a 3 asset portfolio in
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