Alex Sharpe Assignment – T. Jabran Answer 1. By comparing both the stocks‚ the riskiest stock in this case is Reynolds. It has the highest return as well as higher standard deviation and the higher variance. If we compare both stocks‚ Reynolds is riskier than Hasbro in this case. The higher variance indicates higher chance that the actual return on Reynolds will deviate from the expected return. S&P 500 REYNOLDS HASBRO Mean/Average 0.574333 1.874833 1.183833 Variance 12.972333 87.730541 65
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Portfolio Management Case 1: Alex Sharpe’s Portfolio Executive Summary As Alex Sharpe’s consultant‚ we recommend a portfolio of 78% S&P 500 and 22% of R.J Reynolds. This portfolio will generate an annual expected return of 8.86% (significantly higher than the index return 6.29%)‚ while the risk increases by only less than 10%. In Qualitative Analysis‚ we find that tobacco industry tends to move with the market less than the toy industry‚ which indicates that R.J Reynolds can diversity the
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for ‘Alex Sharpe’s Portfolio’ Abhijit Nandi P301413CMG286 Aniket Saha P301413CMG AdityaGanti P301413CMG Devesh Joshi P301413CMG Mallikarjun Swami P301413CMG324 Management Of Risk ( RSK 611) Term 5 ( MBA – Finance & Banking ) Batch 6 Case questions with solutions for ‘Alex Sharpe’s Portfolio’ 1. Estimate and compare the returns and variability (i.e. annual standard deviation over the past five years) of Reynolds and Hasbro with that of the S&P 500
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2013 The article‚ “The Sharpe Ratio and the Information Ratio”‚ by Deborah Kidd is about the original risk-adjusted performance measure and they are Sharpe ratio and the Information Ratio. William Sharpe designed the first performance metric to insolate excess return per unit of total risk taken. The Sharpe ratio shows whether a portfolio ’s returns are due to smart investment decisions or a result of excess risk. The Sharpe ratio measure dividends average portfolio excess return over the sample
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town of Port Maria were kept. After killing the storekeeper‚ Tacky and his men stole nearly 4 barrels of gun powder and 40 firearms before marching on to overrun the plantations at Heywood Hall and Esher. By dawn‚ hundreds had joined Tacky. At Ballard ’s Valley‚ the rebels stopped to rejoice in their success‚ as one a slave from Esher decided to slip away and sound the alarm. An Obeahman who they believed could not be killed‚ sprinkled a
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The Sam Sharpe Rebellion: Causes of the Rebellion There are several reasons for the 1831 revolt in Jamaica. One of the main reasons given for the revolt was that the enslaved was led to believe that emancipation was being withheld. In Jamaica reports spread among the slaves that their "free paper" had come from England but their masters were holding them in bondage. It was obvious that the slaves knew roughly what was going on‚ but they did not know the precise details. Another cause was the
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Assignment Portfolio Theory and Management Individual Assignment Introduction This report exams the performance of fund 49 from different perspectives. Then‚ I composed a portfolio for client Jim using fund 49 and other four asset classes. The report contains five parts‚ first part identifies the style of fund 49 and pick out its corresponding benchmark. Second part conducts performance evaluation by different ratios. Third part compares fund 49 and fund 50 from different aspects. Forth part exams
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Chapter 15 Homework Solutions 2. During Christmastime‚ when the public’s holdings of currency increase‚ what defensive open market operations typically occur? An increase in currency holdings causes the currency ratio to rise and the money multiplier to fall. As a result‚ there will be a decrease in the money supply. To maintain the money supply‚ the Fed must make a defensive purchase of bonds on the open market‚ raising the monetary base to counter the decline in the multiplier. 6. “The
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Linguistic Ethology- Alex the Parrot Despite the claims made by Dr. Pepperberg Alex the Parrot does not have the ability to understand and comprehend human language. The reasoning behind this statement is because of Alex’s training‚ Dr. Pepperberg’s attachment to Alex‚ and no proof of combining phrases. When watching the video entitled Nova Science Now: Irene Pepperberg & Alex‚ at the 5:33 point of the video Dr. Pepperberg created the model/rival technique. The technique involves a student doing
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