Question
Consider two stocks ABC and XYZ. The variance of returns for stock ABC is 0.02448 and for stock XYZ is 0.018772. The correlation between the
Consider two stocks ABC and XYZ. The variance of returns for stock ABC is 0.02448 and for stock XYZ is 0.018772. The correlation between the returns of stock ABC and stock XYZ is 0.35. What is the standard deviation of an investment portfolio that is equally invested in both the securities?
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International Finance Transactions Policy And Regulation
Authors: Hal S. Scott
15th Edition
159941547X, 978-1599415475
