Finance

Suppose an investor is interested in investing 20% in Hewly Packers (HPK) and 80% in General Minting (GMIN). The table below provides data on the last five years of prices and dividends paid for the two stocks. (Use of excel is permissible)

       Year   Hewly Packers   General Minting
       Price Div       Price   Div
       2013   $45.25   $1.25       $32.25       $0.75
       2014   46.50   1.25      32.50      0.75
       2015   47.50   1.25       33.62     0.75
       2016   46.25   1.25      33.25       0.75
       2017   47.75   1.25       34.37    0.75
       2018   48.87   1.25   35.12     0.75

a) Calculate the returns for HPK and GMIN separately.
   b) Calculate the expected return for HP and GM separately.

c) Calculate the standard deviation for HP and GM separately.

d) Calculate the portfolio expected return.

e) Calculate the correlation coefficient.

f) Calculate the portfolio standard deviation.