Portfolio Analysis

Portfolio AnalysisAnalyze the risk and return by creating 2 portfolio of 2 stocks each with the following daily returnsDayStock AStock BStock C121%9%-2%230%21%-5%37%7%9%4-5%-2%21%5-2%-5%30%69%30%7%Assume equal weightsPortfolio AnalysisAnalyze the risk and return by creating 1 portfolio of 3 stocks with the following daily returnsDayStock AStock BStock C121%9%-2%230%21%-5%37%7%9%4-5%-2%21%5-2%-5%30%69%30%7%Assume equal weightsPortfolio AnalysisCreate portfolio of random stocks from given correlation and SD table and analyze

micdelldeltaamericangeneralfordanheuserVolatility42%54%50%72%33%37%18%corrMic10.650.270.190.220.26-0.07dell0.6510.190.320.320.1delta0.270.1910.310.380.19american0.190.1810.350.580.11general0.220.3210.640.11ford0.260.320.6410.1anheuser-0.070.10.110.11Assume equal weightsPortfolio AnalysisAnalyze the risk and return by creating portfolios of 2 stocks each with the following data

Stockswtrtsda0%13%17%b25%14%29%c25%14%31%d0%21%33%e0%18%34%f50%11%16%Assume equal weightsPortfolio AnalysisAnalyze the risk and return by creating portfolio of stocks each with the following data

Stockswtrtsda0%13%17%b25%14%29%c25%14%31%d0%21%33%e0%18%34%f50%11%16%Assume equal weightsPortfolio AnalysisFind out the best optimal portfolio by plotting the frontier using suitable weights. Also plot risk v/s returns

stocksExpectedVolatilityStock-AStock-BStock-CStock-A26%50%100Stock-B6%25%010Stock-C2%25%001Portfolio AnalysisPlot the frontierABcORRELCOVARIANCESTOCK0.75%4.25%10.370.001810RF0.12%0%0.37100Managing riskInsuranceAsset-liability managementHedging

Modified duration & Maculary durationAsset liability managementMake portfolio using 10 yr,2yr bond

Asset: 10 yr bond, 10% at par yearlyLiability: 5 yr bond,8%Asset: 2 yr bond,4%