Assignment:
You have invested $10,000 in IFM stock shares and $20,000 in Peculiar Motors stock shares. Compute the one-day value at risk, at 95% level, assuming normally distributed daily returns. Daily volatility is 2% for IFM and 4% for Peculiar Motors, and their correlation is 0.68.
Provide complete and step by step solution for the question and show calculations and use formulas.