What is the meaning of the variance or its meaning fro returns and its use use...

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Finance

What is the meaning of the variance or its meaning fro returnsand its use use in creating portfolios...?
How risk can be measured using the variance of a stock'sreturn?
Include Sources... Base answers upon the work of Markowitz andSharpe/Litner..

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Variance of a portfolio is nothing but the squared weight of each security by the corresponding variance of the security and add two multiplied by the weighted average of the securities multiplied by the covariance between the securities This helps in See Answer

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What is the meaning of the variance or its meaning fro returns and its use use...

90.2K

Verified Solution

Question

Finance

What is the meaning of the variance or its meaning fro returnsand its use use in creating portfolios...?
How risk can be measured using the variance of a stock'sreturn?
Include Sources... Base answers upon the work of Markowitz andSharpe/Litner..

Answer & Explanation Solved by verified expert

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What is the meaning of the variance or its meaning fro returns and its use use...

90.2K

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Finance

What is the meaning of the variance or its meaning fro returnsand its use use in creating portfolios...?How risk can be measured using the variance of a stock'sreturn?Include Sources... Base answers upon the work of Markowitz andSharpe/Litner..

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Transcribed Image Text

Other questions asked by students

What is the meaning of the variance or its meaning fro returnsand its use use in creating portfolios...?
How risk can be measured using the variance of a stock'sreturn?
Include Sources... Base answers upon the work of Markowitz andSharpe/Litner..