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Risk. Consider the following data for two risky stocks Rate of Return Year ABC XYZ 2013 -5% +19% 2012 2011 +20 +27 +10 +4

   

Risk. Consider the following data for two risky stocks Rate of Return Year ABC XYZ 2013 -5% +19% 2012 2011 +20 +27 +10 +4 Calculate the expected rate of return and standard deviation for a portfolio invested 35% in ABC and 65% in XYZ. ER 35/65= StDev35/65 = = .[5]. % = .[6]................. % Risk. Consider the following data for two risky stocks Rate of Return Year ABC XYZ 2013 -5% +19% 2012 2011 +20 +27 +10 +4 Calculate the expected rate of return and standard deviation for a portfolio invested 35% in ABC and 65% in XYZ. ER 35/65= StDev35/65 = = .[5]. % = .[6]................. %

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