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Andre is an amateur investor who holds a small portfolio consisting of only four stocks. The stock holdings in his portfolio are shown in the

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Andre is an amateur investor who holds a small portfolio consisting of only four stocks. The stock holdings in his portfolio are shown in the following table: Stock Artemis Inc. Babish & Co. Comell Industries Danforth Motors Percentage of Portfolio 20% 30% Expected Return 8.00% 14.00% 11.00% 3.00% Standard Deviation 33.00% 32.00% 40.00% 42.00% 35% 15% What is the expected return on Andre's stock portfolio? 13.64% 15.15% 10.10% 7.58% Suppose each stock in Andre's portfolio has a correlation coeffident of 0,4 (0.4) with each of the other stocks. If the weighted average of the risk of the individual securities (as measured by their standard deviations) included in the partially diversified four stock portfolio is 38%, the portfolio's standard deviation () most likely is 38%

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