Multiple Choice
Stock A has a standard deviation of 15 percent per year and stock B has a standard deviation of 8 percent per year.The correlation between stock A and stock B is .40.You have a portfolio of these two stocks wherein stock B has a portfolio weight of 40 percent.What is your portfolio variance?
A) 0.01143
B) 0.01214
C) 0.01329
D) 0.01437
E) 0.01470
Correct Answer:
Verified
Correct Answer:
Verified
Q2: What is the extra compensation paid to
Q3: What is the expected return on this
Q4: Which one of the following correlation coefficients
Q5: Assume the returns on Stock X were
Q7: What is the variance of the expected
Q9: You have a portfolio which is comprised
Q11: You own a stock which is expected
Q20: If the future return on a security
Q48: You are graphing the investment opportunity set
Q60: How will the returns on two assets