Question
Stock A stock b 1 0.09 0.07 2 0.05 0.02 3 0.13 0.04 4 -0.03 0.02 5 0.08 -0.04 What are the expected returns of
| Stock A | stock b | |
| 1 | 0.09 | 0.07 |
| 2 | 0.05 | 0.02 |
| 3 | 0.13 | 0.04 |
| 4 | -0.03 | 0.02 |
| 5 | 0.08 | -0.04 |
What are the expected returns of the two stocks? b. What are the standard deviations of the returns of the two stocks? c. If their correlation is 0.44, what is the expected return and standard deviation of a portfolio of 74% stock A and 26% stock B?
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The World Is Your Oyster The Guide To Finding Great Investments Around The Globe
Authors: Jeff D. Opdyke
1st Edition
0307381048, 978-0307381040
