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Let mp be the return of a portfolio consisting of w of stock A with and of 1 - w of stock B. The standard
Let mp be the return of a portfolio consisting of w of stock A with and of 1 - w of stock B. The standard deviations of their returns are A = 0.3 and A = 0.2. The correlation of their returns is 0.4. (This example is discussed on p. 37 of class notes. Find w which minimizes the variance of the portfolio (i.e. the variance of TP)
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