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Consider the following financial securities namely D and E with the following estimates SECURITY EXPECTED RETURN STANDARD DIVIATION D 8% 12% E 13% 20% You
Consider the following financial securities namely D and E with the following estimates SECURITY EXPECTED RETURN STANDARD DIVIATION D 8% 12% E 13% 20% You want to formulate a portfolio with the above securities and you have invested equal amounts in both D and E. consider the correlation to be 0.3 between to the two securities. You are required to calculate the standard deviation of the newly formulated portfolio?
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