Assume analysts provide the following types of information. Assume short sales are allowed. Stock Mean Return Standard Deviation A 10% 8% B 12% 10% IC 18% 16% risk free rate 5% The pairwise coefficient of correlation between all three stocks is 0.5, i.e. PAB=PAC=PBc=0.5. a) What the rate of return and the standard deviation of an equal weighted portfolio consist of all three stocks? b) What is the minimum variance portfolio of A and B? What is the standard deviation of this portfolio? Explain briefly why the standard deviation of the portfolio is lower than that of A and B. c) Find the weights of stock A, B and C in the efficient portfolio