6. Stocks 1 and 2 are selling for $100 and $125, respectively. You own 200 shares of...
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6. Stocks 1 and 2 are selling for $100 and $125, respectively. You own 200 shares of stock 1 and 100 shares of stock 2. The weekly returns on these stocks have means of 0.001 and 0.0015, respectively, and standard deviations of 0.03 and 0.04, respectively. Their weekly returns have a correlation of 0.35. Find the correlation matrix of the weekly returns on the two stocks and the mean and standard deviation of the weekly returns on the portfolio.
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Statistics And Data Analysis For Financial Engineering With R Examples
ISBN: 9781493926138
2nd Edition
Authors: David Ruppert, David S. Matteson
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