An investor is given the following information about the returns on two stocks: Stock Mean 0.09 0.13 Standard Deviation 0.15 0.21 Compute the standard deviation of the portfolio composed of 60% stock 1 and 40% stock 2. The coefficient of correlation is 0.4. a) 0.345 b) 0.545 c) 0.145 d) 0.245 e) None of the answers are correct
An investor is given the following information about the returns on two stocks: Stock Mean 0.09 0.13 Standard Deviation 0.15 0.21 Compute the standard deviation of the portfolio composed of 60% stock 1 and 40% stock 2. The coefficient of correlation is 0.4. a) 0.345 b) 0.545 c) 0.145 d) 0.245 e) None of the answers are correct
Glencoe Algebra 1, Student Edition, 9780079039897, 0079039898, 2018
18th Edition
ISBN:9780079039897
Author:Carter
Publisher:Carter
Chapter10: Statistics
Section10.5: Comparing Sets Of Data
Problem 11PPS
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