Suppose You Own a Two-Security Portfolio

Multiple Choice

Suppose you own a two-security portfolio.You have 35.0% of your money invested in Security X and the remainder in Security Y.The standard deviations of Securities X and Y are 10.0% and 15.0%, respectively.What is the correlation between the two securities if the portfolio variance is 0.013225?

A) 0.0055
B) 0.0137
C) 0.3654
D) 0.9148