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Eric Poppovich invests money in two stocks for the upcoming year. His investment is shown below: STOCK: # of shares Price Per Share Expected Return
Eric Poppovich invests money in two stocks for the upcoming year. His investment is shown below:
| STOCK: | # of shares | Price Per Share | Expected Return | Standard Deviation |
|---|---|---|---|---|
| LBJ Corporation (A) | 50.00 | $39.56 | 5.00% | 16.00% |
| Duncan Inc. (B) | 20.00 | $51.66 | 8.00% | 22.00% |
The correlation between LBJ and Duncan is 0.50.
What is the standard deviation of the portfolio?
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Investments An Introduction
Authors: Herbert B Mayo
11th Edition
1133936520, 9781133936527
