EBK INVESTMENTS
11th Edition
ISBN: 9781259357480
Author: Bodie
Publisher: MCGRAW HILL BOOK COMPANY
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Chapter 8, Problem 14PS
Summary Introduction
To calculate: The co-variance between two stocks and market index.
Introduction: The co-variance is the tool which measures the movement of the stocks with each other. If value of co-variance is positive means both stocks are moving in same direction. If value of co-variance s negative means both are moving in opposite direction.
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