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1. Consider the following matrix which gives information about the risk of three shares A. B and C. A B 0.01 A 0.04 -0.01 0.01
1. Consider the following matrix which gives information about the risk of three shares A. B and C. A B 0.01 A 0.04 -0.01 0.01 B -0.01 0.0625 0.001 0.01 This is either a variance-covariance matrix or a correlation coefficient matrix. 1) What number should go in the empty cell? ii) Which type of matrix is it? iii) What is the difference between a covariance and a correlation coefficient
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