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Exercise 5 (5 points) You have a portfolio consisting of two stocks A and B, according to portfolio theory: (a) on what would the risk

Exercise 5 (5 points)

You have a portfolio consisting of two stocks A and B, according to portfolio theory:

(a) on what would the risk of this portfolio depend?

b) under what condition would your portfolio reach the maximum risk level?

c) under what condition would your portfolio reach the minimum risk level?

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