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5- Consider the following two investments Stock A Stock B Economy Probability Return Return Recession .25 -30% -5% Mild Growth .20 2% 3% Steady Growth
5-
Consider the following two investments
Stock A | Stock B | ||
Economy | Probability | Return | Return |
Recession | .25 | -30% | -5% |
Mild Growth | .20 | 2% | 3% |
Steady Growth | .35 | 10% | 5% |
Rapid Growth | .20 | 25% | 8% |
What is the standard deviation of the return of Stock A? (round to two digits, e.g. 5.18%)
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