Multiple Choice
Which of the following is a correct expression concerning the formula for the standard deviation of returns of a two-asset portfolio where the correlation coefficient is positive?
A) σ2rp < (W12σ12 + W22σ22)
B) σ2rp = (W12σ12 + W22σ22)
C) σ2rp = (W12σ12 - W22σ22)
D) σ2rp > (W12σ12 + W22σ22)
Correct Answer:
Verified
Correct Answer:
Verified
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