An investor is considering a two asset portfolio Stock A has an expected return of $4 50 per share with a standard deviation of $1 00, while stock B has an expected return of $3 75 with a standard deviation of $0 75 The covariance between the two stocks is 0 35 Find the portfolio risk if a The stoc...

An investor is considering a two-asset portfolio. Stock A has an expected return of $4.50 per share

Question:

An investor is considering a two-asset Stock A has an of $4.50 per share with a standard deviation of $1.00, while stock B has an of $3.75 with a standard deviation of $0.75. The covariance between the two is -0.35. Find the risk if:
a. The are weighted equally in the The amount of stock A is one-fourth as much as stock B
c. The amount of stock B is one-fourth as much as stock A Stocks
Stocks or shares are generally equity instruments that provide the largest source of raising funds in any public or private listed company's. The instruments are issued on a stock exchange from where a large number of general public who are willing... Expected Return
The expected return is the profit or loss an investor anticipates on an investment that has known or anticipated rates of return (RoR). It is calculated by multiplying potential outcomes by the chances of them occurring and then totaling these... Portfolio
A portfolio is a grouping of financial assets such as stocks, bonds, commodities, currencies and cash equivalents, as well as their fund counterparts, including mutual, exchange-traded and closed funds. A portfolio can also consist of non-publicly...