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Let three stocks A, B, and C. The correlation coefficient between rates of return of A and of B equals 1, that is, PAB-1. As

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Let three stocks A, B, and C. The correlation coefficient between rates of return of A and of B equals 1, that is, PAB-1. As a result Ob. PB,Co Od, cannot tell Oe. PB,C > 0 Oa-B,C = PAB Oc. PBC-PAC

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