Question
A portfolio is composed of two stocks, A and B.For Stock A, the standard deviation of the rate of return is 20%.For stock B, the
A portfolio is composed of two stocks, A and B.For Stock A, the standard deviation of the rate of return is 20%.For stock B, the standard deviation of the rate of return is 30%.Stock A comprises 40% of the portfolio while stock B comprises 60% of the portfolio.What is the standard deviation of the combined portfolio if the correlation coefficient between the returns for A and B is 0.5?
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Economic Change In Asia Implications For Corporate Strategy And Social Responsibility
Authors: M Bruna Zolin, Bernadette Andreosso O'Callaghan, Jacques Jaussaud
1st Edition
1317286650, 9781317286653
