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Exercise 2: Proof how to find the optimal weights to have a portfolio with zero risk when the two stocks A and B are positively
Exercise 2: Proof how to find the optimal weights to have a portfolio with zero risk when the two stocks A and B are positively and perfectly correlated. Calculate the expected return and risk for this portfolio when E(RA)=12%, E(RB)=15%, 0A = 3%, OB = 5%, (02 marks) OA 3% =
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