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: Percentage of Portfolio 2090 30% 35% 15% Expected Return 8.00% 14.00% 12.00% 3.00% Standard Deviation 36.00% 40.00% 43.00% 45.00% Stock Artemis Inc. Babish & Co Cornell Industries Danforth Motors What is the expected return on Andre's stock portfolio? O 7.84% O 14.11% O 10.45% O 15.68% Suppose each stock in Andre's portfolio has a correlation coefficient of 0.40 ( = 0.40) with each of the other stocks The market's average standard deviation is approximately 20%, and the weighted average of the risk of the individual securities in the partially diversified four-stock portfolio is 41% If 40 additional, randomly selected stocks with a correlation coefficient of 0.30 with the other stocks in the portfolio were added to the portfolio, what effect would this have on the portfolio's standard deviation (Op)? O It would gradually settle at approximately 20%. It would stay constant at 41% It would decrease gradually, settling at about 0% It would gradually settle at about 35%