Question
Hi, my answer for the first Standard deviation is 14.28% and my standard deviation for the correlation of -0.80 is 10.28%! Is this correct? Here
Hi, my answer for the first Standard deviation is 14.28% and my standard deviation for the correlation of -0.80 is 10.28%! Is this correct?
Here is the question: Your portfolio consists of two securities: Transcomm and MidCap. The expected return for Transcomm is 15.3 percent, while for MidCap it is 5.3 percent. The standard deviation is 6.3 percent for Transcomm and 20.3 percent for MidCap. If 40 percent of the portfolio is invested in Transcomm.
Calculate the portfolio standard deviation if the correlation between the stocks is 0.80.(Round intermediate calculations to 6 decimal places, e.g. 0.251254 and the final answer to 2 decimal places, e.g. 15.25%.)
Portfolio standard deviation%:
Calculate the portfolio standard deviation if the correlation between the stocks is 0.80.(Round intermediate calculations to 6 decimal places, e.g. 0.251254 and the final answer to 2 decimal places, e.g. 15.25%.)
Portfolio standard deviation%:
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