Question
An investor puts 70% of their money in Stock 1 and the rest in Stock 2. Stock 1 has a standard deviation of 49% and
An investor puts 70% of their money in Stock 1 and the rest in Stock 2. Stock 1 has a standard deviation of 49% and Stock 2 has a standard deviation of 36%. The covariance between the two stocks is 0.097171. What is the portfolio's standard deviation?
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Get StartedRecommended Textbook for
International Financial Management
Authors: Geert Bekaert, Robert J. Hodrick
2nd edition
013299755X, 132162768, 9780132997553, 978-0132162760
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