Robert Alan Hill Portfolio Theory & Financial Analyses: Exercises Download free books at Download free eBooks at bookboon.com 2 Robert Alan Hill Portfolio Theory & Financial Analyses Exercises Download free eBooks at bookboon.com 3 Portfolio Theory & Financial Analyses: Exercises 1 st edition © 2010 Robert Alan Hill & bookboon.com ISBN 978-87-7681-616-2 Download free eBooks at bookboon.com Click on the ad to read more Portfolio Theory & Financial Analyses: Exercises 4 Contents Contents About the Author 8 Part I: An Introduction 9 1 An Overview 10 Introduction 10 Exercise 1.1: e Mean-Variance Paradox 11 Exercise 1.2: e Concept of Investor Utility 13 Summary and Conclusions 14 Selected References (From PTFA) 15 Part II: e Portfolio Decision 16 2 Risk and Portfolio Analysis 17 Introduction 17 Exercise 2.1: A Guide to Further Study 18 Exercise 2.2: e Correlation Coecient and Risk 18 www.sylvania.com We do not reinvent the wheel we reinvent light. Fascinating lighting offers an infinite spectrum of possibilities: Innovative technologies and new markets provide both opportunities and challenges. An environment in which your expertise is in high demand. Enjoy the supportive working atmosphere within our global group and benefit from international career paths. Implement sustainable ideas in close cooperation with other specialists and contribute to influencing our future. Come and join us in reinventing light every day. Light is OSRAM Download free eBooks at bookboon.com Click on the ad to read more Portfolio Theory & Financial Analyses: Exercises 5 Contents Exercise 2.3: Correlation and Risk Reduction 19 Summary and Conclusions 21 Selected References 22 3 e Optimum Portfolio 23 Introduction 23 Exercise 3.1: Two-Asset Portfolio Risk Minimisation 24 Exercise 3.2: Two-Asset Portfolio Minimum Variance (I) 26 Exercise 3.3: Two-Asset Portfolio Minimum Variance (II) 30 Exercise 3.4: e Multi-Asset Portfolio 31 Summary and Conclusions 32 Selected References 33 4 e Market Portfolio 34 Exercise 4.1: Tobin and Perfect Capital Markets 35 Exercise 4.2: e Market Portfolio and Tobin’s eorem 37 Summary and Conclusions 42 Selected References 43 360° thinking . © Deloitte & Touche LLP and affiliated entities. Discover the truth at www.deloitte.ca/careers