b) calculate the standard deviation of the portfolio.

c) calculate the beta of the portfolio.

d) is the systematic risk of the portfolio is more or less than the market?

Question 7 (15 pts): retums for There are three states of economy and you are given the following probabilities and each stock for each state of economy. You invest 30% in stock X and 70% in stock Y. The betas for cach stock are also given below Returns if State Oceurs State of Economy Probability of State of Economy 20% 50% 30% Stock AStock B Boom Normal Recession i 5% 10% 5% 40% 12% Beta 0.95 1.65 Stock Portfolio Weights 30% 70% a. (4 pts) Calculate the expected return of the portfolio