Hi can I ask how to solve for question 5.
Regards
Jay
Expected return is just the sum of weight * return; portfolio SD is the square root of portfolio variance, which requires that big, ugly formula that uses variances and covariances.
For part b, it sounds like you construct a bond & stock portfolio and just take the difference from the 3 asset portfolio standard deviation.
Hi can i have the shortcut on ba2 plus calculator
Sorry, no shortcut for this beast! You gotta do it the hard way!!! 
Hi i have troubles on putting in the ba2 plus can you help me
(0.6 * 0.02) + (0.2 * 0.1) + (0.2 * 0.15) = 0.012 + 0.02 + 0.03 = 0.062
It’s just tedious calculator entry. 
this is for expected return? how about the risk of the portfolio?
how about part b?
Add up all of the covariances that involve commodities and divide by the total variance.
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Frighteningly dull, tedious, repetitive calculator entry where if you mess up one part, you mess up the whole thing!!! 
Note that, for example, by σ12, they mean the covariance of asset 1’s returns and asset 2’s returns. That’s not remotely a common notation.
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Unless you’re a stats or actuarial science major… 
We tended to use letters instead of numbers to denote variables, so I never really bothered to use commas.
Even then, it should be σ212; it’s a variance, not a standard deviation.
Can I know how to do it on ba2 plus calculator
I’ll do the first variance term and the first covariance term, but you’re on your own for the rest!!!
Variance term (bonds) = (0.06^2) * (0.02^2)
Covariance term (bonds and stocks) = 2 * 0.6 * 0.2 * 0.4 * √0.06 * √0.25