You have a portfolio made up of three stocks. Tesla is 60% of the portfolio,...
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You have a portfolio made up of three stocks. Tesla is 60% of the portfolio, IBM is 20%, and GE is 20%. There are three possible states of the world with probability of occurrence given below. For this problem find the following: 1. The expected return, the Standard Deviation, and the Coefficent of Variation for Tesla 2. The expected return, the Standard Deviation, and the Coefficent of Variation for the portfolio .60 Tesla IBM Portfolio State of the World Below Avg .30 -0.05 0.01 0.06 -0.01 -0.03 Avg .40 -0.01 Above Avg .30 0.04 0.09 0.07 E(r) Std Deviation Coefficient of Variation You must show work and use the appropriate formulas: Please put your answers in the table above
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