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Stock #1 will have a return of 17% in an economic boom and -12% in a bust. Stock #2 will have a return of 39%
Stock #1 will have a return of 17% in an economic boom and -12% in a bust. Stock #2 will have a return of 39% in a boom and -35% in a bust. Stock #3 will have a return of -8% in a boom and 5% in a bust. You put 28% of your money in Stock #1, 39% in Stock #2, and the rest in Stock #3. What will be the return on the entire portfolio in a boom? Write you answer out to three decimals; for example, write 12.2% as .122.
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