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I need answers for all the parts please and thank you! Stocks A and B have the following returns: Stock A 0.08 0.06 0.13 -0.04
I need answers for all the parts please and thank you!
Stocks A and B have the following returns: Stock A 0.08 0.06 0.13 -0.04 0.08 Stock B 0.05 0.04 0.04 0.01 -0.01 a. What are the expected returns of the two stocks? b. What are the standard deviations of the returns of the two stocks? c. If their correlation is 0.45, what is the expected return and standard deviation of a portfolio of 66% stock A and 34% stock B? a. What are the expected returns of the two stocks? The expected return for stock Ais (Round to three decimal places.)Step by Step Solution
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