Question
A stock portfolio consists of 50% in Stock A with an expected return of 9% and a standard deviation of 13%, and 50% in Stock
A stock portfolio consists of 50% in Stock A with an expected return of 9% and a standard deviation of 13%, and 50% in Stock B with an expected return of 11% and a standard deviation of 17%. If the correlation coefficient between Stock A and Stock B is 0.4, calculate the portfolio's expected return and standard deviation.
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Intermediate Accounting
Authors: Beechy Thomas, Conrod Joan, Farrell Elizabeth, McLeod Dick I
Volume 1, 6th Edition
1259103250, 978-1259103254, 978-0071339476
