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Q6: Consider the following information and assume equal weights in each portfolio. The table contains information of standard deviations and covariances. A B D A

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Q6: Consider the following information and assume equal weights in each portfolio. The table contains information of standard deviations and covariances. A B D A 12% B 16% -106% 20% 150% -115% D 16% 150% 130% 180% a) Calculate portfolio risk (standard deviation) for the portfolio made up of stock A, B, and C. b) Now assume security C is risk free (e.g., T-bill). Calculate portfolio risk again

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