Problem plotting two parametric equations

I am working on a quantitative finance problem, and I wish to plot the following functions:

and for w between 0 and 1. I have tried the following code:

w=linspace(0,1);
mu= 0.1*w+0.14*(1-w);
sigma = (0.12^2)*w.^2+0.4*0.12*0.2*2*w(1-w)+(0.2^2)*(1-w).^2;
plot(mu,sigma);
xlabel('mu'),ylabel('sigma')
title('risk vs return')

And I get the following errors:

Incorrect dimensions for raising a matrix to a power. Check that the matrix is square and the power is a scalar. To perform elementwise matrix powers, use '.^'.

But when I replaced the "^" for ".^", I got this error

Array indices must be positive integers or logical values.

And I don't know how to proceed. How could I fix this issue?

Answer 1

[Sulaymon Eshkabilov]

Hi,

Here is the fixed code:

w=linspace(0,1);
mu= 0.1*w+0.14*(1-w);
sigma = (0.12^2)*w.^2+0.4*0.12*0.2*2*w.*(1-w)+(0.2^2)*(1-w).^2;
plot(mu,sigma);
xlabel('mu'),ylabel('sigma')
title('risk vs return')