Stocks X and Y have the following probability distributions of expected future returns: Probability r.(%) ry(%) 0.1 -10 -35 0.2 2 0 0.4 12 20 0.2 20 25 0.1 38 45 The expected rate of returns of X and Y are 12% and 14% respectively. The standard deviations of these stocks are 12.20% and 30.35% respectively. Required: i) Calculate the covariance of X and Y. ii) Calculate the correlation coefficient of the stocks and interpret the results. If you want to construct a portfolio by investing 55% in X and the rest in Y, what will be the portfolio risk? What will be the portfolio return? (3) (2) (2+2)