2. You have the following information about two stocks: Abisoft Inc Expected return Standard deviation Beta Matlin Corp 12.7% 9% 12% 1.9 a) Assume you invest 40% of your funds in Matlin and 60% in Abisoft, and the correlation of returns between the two is 0.3. Calculate the expected return, standard deviation, and beta of this portfolio by calculate what happens to the expected return, standard deviation, and beta of the portfolio if the correlation of returns between the stocks is a) 1.0, b) 0.0, and c)-1.0. 2. You have the following information about two stocks: Expected return Standard deviation Beta Matlin Corp 12.7% 9% 1.2 Abisoft Inc 17.4% 12% 1.9 a) Assume you invest 40% of your funds in Matlin and 60% in Abisoft, and the correlation of returns between the two is 0.3. Calculate the expected return, standard deviation, and beta of this portfolio. b) Calculate what happens to the expected return, standard deviation, and beta of the portfolio if the correlation of returns between the stocks is a) 1.0, b) 0.0, and c) -1.0