Multiple Choice
A stock fund has a standard deviation of 17 percent and a bond fund has a standard deviation of 8 percent.The correlation of the two funds is .24.What is the approximate weight of the stock fund in the minimum variance portfolio?
A) 11 percent
B) 15 percent
C) 21 percent
D) 24 percent
E) 27 percent
Correct Answer:
Verified
Correct Answer:
Verified
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