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Suppose Asset A has an expected return of 10 percent and a standard deviation of 20 percent. Asset B has an expected return of 16
Suppose Asset A has an expected return of 10 percent and a standard deviation of 20 percent. Asset B has an expected return of 16 percent and a standard deviation of 40 percent. Asset C has and expected return of 20 percent and a standard deviation of 50 percent. If the correlation between A and B is 0.35, B and C is 0.10, and C and A is 0.20, what are the expected return and standard deviation for a portfolio comprised of 30 percent Asset A, 20 percent Asset B, and 50 percent Asset C?
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