The minimum variance that could be achieved by using these stocks is 0.0013261 and the portfolio weigh in such case would involve 80% of WBC, 10% of QAN and 10% of DJS. This certainly is due to the high returns and less standard deviation & variance of WBC. WBC is an extremely well-capitalized company as per the FDIC norms. As per the FDIC, an institution is considered to be well-capitalized if it maintains a minimum leverage capital ratio of 5.0% and a minimum risk-based capital ratio of 10.0%, of which at least 6.0% must be Tier 1 capital. At 31-Dec-10, WBC’s total risk-based capital ratio was 14.47%; its Tier 1 risk-based capital ratio was 13.57%; and the company’s leverage capital ratio was 9.39%. At 31-Mar-11, the company’s total risk-based capital ratio was 14.62%; its Tier 1 risk-based capital ratio was 13.66%; and the company’s leverage capital ratio was 9.10%. Each of these ratios exceeded the minimum ratio established for a “well capitalized” institution.