U(W) E 4 E 3

0.05 0.05005 0.050038

0.05 0.0502 0.05015
0.05 0.05045 0.050338
0.05 0.0508 0.0506
0.05 0.05125 0.050938

0.0515

0.051

0.0505

0.05

E(R)
0.0495

0.049

0.0485

0.048
0 0.05 0.1 0.15 0.2
Standard Deviation
 E 0 E -2 SD Variance
0.05 0.049975 0.05 0.0025
0.05 0.0499 0.1 0.01
0.05 0.049775 0.15 0.0225
0.05 0.0496 0.2 0.04
0.05 0.049375 0.25 0.0625 3
4
0
-2

E 4
E 3
E 0
E -2

5 0.1 0.15 0.2 0.25 0.3

Standard Deviation
Investment E SD A U A U
1 12% 30% 4 11.98% 0 12.00%
2 15% 50% 4 14.88% 0 15.00%
3 21% 16% 4 21.00% 0 21.00%
4 24% 21% 4 24.00% 0 24.00%
Portfolio Wt S&P Wt T Bills R, S&P
1 1 0 13.5
2 0.9 0.1 13.5
3 0.8 0.2 13.5
4 0.7 0.3 13.5
5 0.6 0.4 13.5
6 0.5 0.5 13.5
7 0.4 0.6 13.5
8 0.3 0.7 13.5
9 0.2 0.8 13.5
10 0.1 0.9 13.5
11 0 1 13.5

Wt T Bills
16

14

12

10

0
0 0.2 0.4 0.6
R, T Bils SD, S&P SD, T Bills CoVar S&P + T Bills R, Port Var, Port SD, Port A Utility, A=3
5 20 0 0 13.5 400 20 3 7.5
5 20 0 0 12.65 324 18 3 7.79
5 20 0 0 11.8 256 16 3 7.96
5 20 0 0 10.95 196 14 3 8.01
5 20 0 0 10.1 144 12 3 7.94
5 20 0 0 9.25 100 10 3 7.75
5 20 0 0 8.4 64 8 3 7.44
5 20 0 0 7.55 36 6 3 7.01
5 20 0 0 6.7 16 4 3 6.46
5 20 0 0 5.85 4 2 3 5.79
5 20 0 0 5 0 0 3 5

Wt T Bills

0.4 0.6 0.8 1 1.2

Portfolio Wt S&P Wt T Bills R, S&P
1 1 0 13.5
2 0.9 0.1 13.5
3 0.8 0.2 13.5
4 0.7 0.3 13.5
5 0.6 0.4 13.5
6 0.5 0.5 13.5
7 0.4 0.6 13.5
8 0.3 0.7 13.5
9 0.2 0.8 13.5
10 0.1 0.9 13.5
11 0 1 13.5

Wt T Bills
16

14

12

10

0
0 0.2 0.4 0.6
R, T Bils SD, S&P SD, T Bills CoVar S&P + T Bills R, Port Var, Port SD, Port A Utility, A=3
5 20 0 0 13.5 400 20 4 5.5
5 20 0 0 12.65 324 18 4 6.17
5 20 0 0 11.8 256 16 4 6.68
5 20 0 0 10.95 196 14 4 7.03
5 20 0 0 10.1 144 12 4 7.22
5 20 0 0 9.25 100 10 4 7.25
5 20 0 0 8.4 64 8 4 7.12
5 20 0 0 7.55 36 6 4 6.83
5 20 0 0 6.7 16 4 4 6.38
5 20 0 0 5.85 4 2 4 5.77
5 20 0 0 5 0 0 4 5

Wt T Bills

0.4 0.6 0.8 1 1.2