please discuss the correlation coefficients of these five stocks and the betas of these five stocks. Are the beta estimates consistent with your expectation of cyclical stocks or defensive stocks? Is the firm-specific risk in your 5-security portfolio lower than that of an individual stock? What does that imply? From the graph of the security market line, please discuss which stocks are overvalued or undervalued.

A B C D E

Standar Dev	0.06113373	0.048882282	0.078104964	0.152030188	0.109754932
Variance	0.00373733	0.002389477	0.006100385	0.023113178	0.012046145
Beta	0.77249273	0.419157304	1.173403688	1.165718136	1.164113178
Expected Return	0.01410076	0.007447765	0.020478914	0.030753259	0.013912637
Systematic risk	0.00107541	0.000316622	0.002481311	0.002448914	0.002442175
% total risk	29%	13%	41%	11%	20%
firm specific risk	0.00266192	0.002072856	0.003619074	0.020664264	0.00960397
% total risk	71%	87%	59%	89%	80%