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andard Deviation Conversion. The (annual) standard deviation of the currency portfo- lio of your firm is estimated to be 12 percent. You are in the

andard Deviation Conversion. The (annual) standard deviation of the currency portfo- lio of your firm is estimated to be 12 percent. You are in the process of assessing currency risk over the next quarter. What is the appropriate quarterly standard deviation? Explain the assumption behind the conversion from annual to quart erly standard deviation

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