You are given the following information about three stocks

The correlation between B and C is 0.2 1. Suppose you desire to invest in any one of the stocks listed above (singly). Can any be recommended?
2. Now suppose you diversify into two securities. Given all choices, can any portfolio be eliminated? Assume equal weights.

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Stock Expected Standard Return Deviation ABC A 0.06 0 0.1 0.1 C 0.2 0.375