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6. Your client has $98,000 invested in stock A. She would like to build a two-stock portfolio by investing another $98,000 in either stock B

6.

image text in transcribed Your client has $98,000 invested in stock A. She would like to build a two-stock portfolio by investing another $98,000 in either stock B or C. She wants a portfolio with an expected return of at least 14.5% and as low a risk as possible, but the standard deviation must be no more than 40%. What do you advise her to do, and what be the portfolio expected return and standard deviation? The expected return of the portfolio with stock B is \%. (Round to one decimal place.)

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