Portfolio return and standard deviation Personal Finance Problem Jamie Wong is thinking of building an investment portfolio containing two stocks, L and M. Stock L will represent 25% of the dollar value of the portfolio, and stock M will account for the other 75%. The historical returns over the next years, 2013 - 2018, for each of these stocks are shown in the following table: a. Calculate the actual portfolio return, rp, for each of the 6 years. b. Calculate the expected value of portfolio returns, rp, over the 6-year period. c. Calculate the standard deviation of expected portfolio returns, or over the 6-year period. d. How would you characterize the correlation of returns of the two stocks L and M? e. Discuss any benefits of diversification achieved by Jamie through creation of the portfolio. Data Table Click on the icon here e in order to copy the contents of the data table below nto a spreadsheet.) 18% Year 2013 2014 2015 2016 2017 2018 Expected return Stock L Stock M 15% 20% 17% 17% 16% 19% 14% 19% 12% 21% 10% Portfolio return and standard deviation Personal Finance Problem Jamie Wong is thinking of building an investment portfolio containing two stocks, L and M. Stock L will represent 25% of the dollar value of the portfolio, and stock M will account for the other 75%. The historical returns over the next years, 2013 - 2018, for each of these stocks are shown in the following table: a. Calculate the actual portfolio return, rp, for each of the 6 years. b. Calculate the expected value of portfolio returns, rp, over the 6-year period. c. Calculate the standard deviation of expected portfolio returns, or over the 6-year period. d. How would you characterize the correlation of returns of the two stocks L and M? e. Discuss any benefits of diversification achieved by Jamie through creation of the portfolio. Data Table Click on the icon here e in order to copy the contents of the data table below nto a spreadsheet.) 18% Year 2013 2014 2015 2016 2017 2018 Expected return Stock L Stock M 15% 20% 17% 17% 16% 19% 14% 19% 12% 21% 10%