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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Chapter 8, Problem 14PS

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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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