In order to determine the expected return of a portfolio, all of the following must be known except:
A) probabilities of expected returns of individual assets.
B) weight of each individual asset to total portfolio value.
C) expected return of each individual asset.
D) All of these must be known in order to determine the expected return of a portfolio.

Question

Quizplus · Accepted Answer

The expected return of a portfolio is calculated using the weights and expected returns of individual assets. Probabilities of expected returns are not needed for this calculation.

In Order to Determine the Expected Return of a Portfolio