Standard deviation of her portfolio


Lucy has $900,000 to invest and she wants a portfolio beta of 1.2. The S&P 500 has an expected return of 18% and the standard deviation is 30%. The risk-free return is 5%. She plans to put her money in the S&P 500 and T-bills. What is the expected return (in %) and standard deviation of her portfolio?

Request for Solution File

Ask an Expert for Answer!!
Finance Basics: Standard deviation of her portfolio
Reference No:- TGS0508191

Expected delivery within 24 Hours