Count E(r) σ^2 0 10.91 19.17 1 13.63 18.68 2 15.84 25.51 3 8.69 11.29 4 8.35 6.69 0 0.0 1 7.227685504501818E-4 2 0.648888180366443 3 0.9840881771783161 4 0.036235538813243075 5 -0.020323715991559167 total: 289.72363216872805 651.27 ; 24.59813041451064

rf=8.55
rc = yrp+(1-y)rf
A=E(rp)-rf/.01ys2p
E(rp) = y(.01As2p)+rf
sc = ysp p The weights of the original risky portfolio will stay the same because when combined with the fisk free investment the optimal combined portfolio will still stay on the same CAM. For this reason on will take y, the amount invested in a risky portfolio and then multiply that number by the weights in the risky portfolio. The risk in the original portfolio will not change. Roberto have a much higher risk aversion coefficient of 4.3 than does Cathy A=.5 who has a low risk aversion and therefore is willing to invest in a much higher proportion of risky portfolio.

Count	Asset 1	Asset 2	Asset 3	Asset 4	Asset 5	E(r)	σ^2	σ	CAL Slope	CAL line	utility	Er Utility
0	0.0333	0.0	-0.0056	0.0	0.9723	8.39	44.04	6.63	0.36	9.44	6.85	9.46
1	0.0267	0.0	0.0165	0.0	0.9566	8.54	42.84	6.54	0.38	9.40	7.05	9.42
2	0.0202	0.0	0.0387	0.0	0.9409	8.69	42.18	6.49	0.41	9.37	7.22	9.40
3	0.0137	0.0	0.0610	0.0	0.9252	8.84	42.04	6.48	0.43	9.36	7.37	9.39
4	0.0072	0.0	0.0832	0.0	0.9095	8.99	42.45	6.51	0.46	9.38	7.51	9.40
5	7.2276	0.0	0.1054	0.0	0.8938	9.14	43.38	6.58	0.47	9.42	7.63	9.44
6	0.0	0.0	0.1257	0.0	0.8742	9.29	44.94	6.70	0.49	9.48	7.72	9.49
7	0.0	0.0	0.1457	0.0	0.8542	9.44	46.98	6.85	0.50	9.56	7.80	9.56
8	0.0	0.0	0.1657	0.0	0.8342	9.59	49.58	7.04	0.51	9.65	7.86	9.65
9	0.0	0.0	0.1857	0.0	0.8142	9.74	52.73	7.26	0.51	9.77	7.90	9.76
10	0.0	0.0	0.2057	0.0	0.7942	9.89	56.43	7.51	0.51	9.90	7.92	9.89
11	0.0	0.0090	0.2193	0.0	0.7715	10.04	60.68	7.78	0.51	10.04	7.92	10.04
12	0.0	0.0268	0.2267	0.0	0.7463	10.19	65.39	8.08	0.51	10.20	7.90	10.21
13	0.0	0.0446	0.2342	0.0	0.7210	10.34	70.55	8.39	0.51	10.36	7.87	10.39
14	0.0	0.0624	0.2417	0.0	0.6958	10.49	76.16	8.72	0.51	10.53	7.83	10.58
15	0.0	0.0801	0.2492	0.0	0.6705	10.64	82.22	9.06	0.51	10.71	7.76	10.80
16	0.0	0.0979	0.2566	0.0	0.6453	10.79	88.73	9.42	0.50	10.89	7.69	11.03
17	0.0	0.1157	0.2641	0.0	0.6200	10.94	95.70	9.78	0.50	11.08	7.59	11.27
18	0.0	0.1334	0.2716	0.0	0.5948	11.09	103.12	10.15	0.50	11.27	7.48	11.53
19	0.0	0.1512	0.2791	0.0	0.5695	11.24	110.98	10.53	0.49	11.47	7.36	11.80
20	0.0	0.1690	0.2866	0.0	0.5443	11.39	119.30	10.92	0.49	11.67	7.22	12.09
21	0.0	0.1868	0.2940	0.0	0.5191	11.54	128.07	11.31	0.49	11.88	7.06	12.40
22	0.0	0.2045	0.3015	0.0	0.4938	11.69	137.29	11.71	0.48	12.08	6.89	12.72
23	0.0	0.2223	0.3090	0.0	0.4686	11.84	146.96	12.12	0.48	12.29	6.70	13.06
24	0.0	0.2401	0.3165	0.0	0.4433	11.99	157.08	12.53	0.47	12.51	6.49	13.42
25	0.0	0.2579	0.3239	0.0	0.4181	12.14	167.65	12.94	0.47	12.72	6.27	13.79
26	0.0	0.2756	0.3314	0.0	0.3928	12.29	178.68	13.36	0.47	12.94	6.04	14.17
27	0.0	0.2934	0.3389	0.0	0.3676	12.44	190.15	13.78	0.46	13.16	5.78	14.57
28	0.0	0.3112	0.3464	0.0	0.3423	12.59	202.08	14.21	0.46	13.38	5.52	14.99
29	0.0	0.3289	0.3539	0.0	0.3171	12.74	214.46	14.64	0.46	13.61	5.23	15.43
30	0.0	0.3467	0.3613	0.0	0.2918	12.89	227.28	15.07	0.45	13.83	4.93	15.87
31	0.0	0.3645	0.3688	0.0	0.2666	13.04	240.56	15.51	0.45	14.06	4.62	16.34
32	0.0	0.3823	0.3763	0.0	0.2413	13.19	254.29	15.94	0.45	14.28	4.29	16.82
33	0.0	0.4000	0.3838	0.0	0.2161	13.34	268.47	16.38	0.44	14.51	3.94	17.32
34	0.0	0.4178	0.3912	0.0	0.1908	13.49	283.11	16.82	0.44	14.74	3.58	17.83
35	0.0	0.4356	0.3987	0.0	0.1656	13.64	298.19	17.26	0.44	14.97	3.20	18.36
36	0.0	0.4533	0.4062	0.0	0.1403	13.79	313.72	17.71	0.44	15.20	2.81	18.90
37	0.0	0.4711	0.4137	0.0	0.1151	13.94	329.71	18.15	0.43	15.43	2.40	19.46
38	0.0	0.4889	0.4212	0.0	0.0898	14.09	346.15	18.60	0.43	15.66	1.97	20.03
39	0.0	0.5067	0.4286	0.0	0.0646	14.24	363.03	19.05	0.43	15.90	1.53	20.63
40	0.0	0.5244	0.4361	0.0	0.0393	14.39	380.37	19.50	0.43	16.13	1.08	21.23
41	0.0	0.5422	0.4436	0.0	0.0141	14.54	398.16	19.95	0.42	16.36	0.60	21.86
42	0.0	0.5600	0.4511	0.0	-0.0111	14.69	416.40	20.40	0.42	16.60	0.11	22.49
43	0.0	0.5777	0.4585	0.0	-0.0363	14.84	435.09	20.85	0.42	16.83	-0.38	23.15
44	0.0	0.5955	0.4660	0.0	-0.0616	14.99	454.24	21.31	0.42	17.07	-0.90	23.82
45	0.0	0.6133	0.4735	0.0	-0.0868	15.14	473.83	21.76	0.42	17.31	-1.44	24.50
46	0.0	0.6311	0.4810	0.0	-0.1121	15.29	493.87	22.22	0.41	17.54	-1.99	25.20
47	0.0	0.6488	0.4884	0.0	-0.1373	15.44	514.37	22.67	0.41	17.78	-2.56	25.92
48	0.0	0.0	0.9649	0.0175	0.0174	15.59	651.27	25.51	0.37	19.26	-7.20	30.71
49	0.0	0.0	0.9840	0.0362	-0.0203	15.74	651.27	25.51	0.38	19.26	-7.05	30.71

sNum : Max Slope : 0.5196584924373893

sNum : -1.1508175492812711 PC : -3.126388037344441E-13

pivit Row : 4 PC : 3 pivit numer multip :