Multiple Choice
What is the standard deviation of a portfolio of two stocks given the following data? Stock A has a standard deviation of 18%.Stock B has a standard deviation of 14%.The portfolio contains 40% of stock A and the correlation coefficient between the two stocks is -.23.
A) 9.7%
B) 12.2%
C) 14.0%
D) 15.6%
Correct Answer:
Verified
Correct Answer:
Verified
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