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in order for the investor to improve their The correlation coefficient between X and Y must be Sharpe ratio by holding both X and Y
in order for the investor to improve their The correlation coefficient between X and Y must be Sharpe ratio by holding both X and Y in their portfolio. Asset Expected Return Standard Deviation Risk-free 2% 0% Stock X 6% 20% Stock Y 10% 40% less than 0 equal to - 1 less than -0.5 less than 0.5 less than 1
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