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PLEASE ANSWER QUESTIONS COMPLETELY 1) Risk and Return -Be able to explain why the weighted average of 2 single stock standard deviations is higher than

PLEASE ANSWER QUESTIONS COMPLETELY
1) Risk and Return -Be able to explain why the weighted average of 2 single stock standard deviations is higher than the actual portfolio standard deviation. This has to do with correlation. Make sure you can explain the difference between systematic and unsystematic risk and give examples of each (that is, how are these measured) Make sure you can explain what beta measures and why it may change. If it does change, what should a finance professional do when using CAPM to compute the required return on equity

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