Computes expected return, risk, beta and risk free rate.

ivt_stock_risk_return(probs, returns)

ivt_pf_risk_return(probs, returns_1, returns_2, correlation, weight_1)

Arguments

probs

Probability distribution of future returns.

returns

Returns on stock.

returns_1

Returns on stock 1.

returns_2

Returns on stock 2.

correlation

Correlation between stock returns.

weight_1

Proportion of portfolio invested in stock 1.

Examples

ivt_stock_risk_return(c(20, 30, 30, 20), c(5, 10, 15, 20))
#> $expected_return #> [1] 0.125 #> #> $variance #> [1] 0.002625 #> #> $std_deviation #> [1] 0.05123475 #>
ivt_pf_risk_return(c(20, 30, 30, 20), c(5, 10, 15, 20), c(50, 30, 10, -10), correlation = 1, weight_1 = 0.5)
#> $portfolio_return #> [1] 0.1625 #> #> $portfolio_var #> [1] 0.01640625 #> #> $portfolio_sd #> [1] 0.1280869 #>