The Stock Market of Country a Has an Expected Return

question 2

Essay

The stock market of country A has an expected return of 8 percent,and standard deviation of expected return of 5 percent.The stock market of country B has an expected return of 16 percent and standard deviation of expected return of 10 percent.
Find the expected return of a portfolio with half invested in A and half invested in B.

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Definitions:

Existence

The state or fact of being real, present, or in operation.

Circumstantial Evidence

Indirect evidence that implies a fact but does not directly prove it.

Direct Evidence

Evidence that directly proves a fact without needing inference or presumption.

Court

A tribunal, often a governmental institution, with the authority to adjudicate legal disputes between parties and carry out the administration of justice.