Morgan is a financial advisor and he just received $10,000 from a client. Based on the client's risk tolerance, he plans to invest into two stocks only: Bridge Inc, and Water Corp. Specifically, 20% of money will be allocated to Bridge Inc., and the remaining 80% to Water Corp. Historical data shows that the standard deviation of returns is 25% and 8% for Bridge Inc. and Water Corp., respectively. In addition, the two stocks have a correlation coefficient of -0.25 (note the negative sign). Given the information above, the standard deviation of this portfolio will be_______.

Question 35 options:

a)	7.07%
b)	0.50%
c)	6.50%
d)	Cannot be determined
e)	5.48%