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Suppose that the average stock has a volatility of 51%, and that the correlation between pairs of stocks is 25%. Estimate the volatility of an

image text in transcribed Suppose that the average stock has a volatility of 51%, and that the correlation between pairs of stocks is 25%. Estimate the volatility of an equally weighted portfolio with: a. 1 stock b. 30 stocks c. 1,000 stocks a. The volatility of an equally weighted portfolio with 1 stock is \%. (Round to two decimal places.) b. The volatility of an equally weighted portfolio with 30 stocks is \%. (Round to two decimal places.) Suppose that the average stock has a volatility of 51%, and that the correlation between pairs of stocks is 25%. Estimate the volatility of an equally weighted portfolio with: a. 1 stock b. 30 stocks c. 1,000 stocks a. The volatility of an equally weighted portfolio with 1 stock is \%. (Round to two decimal places.) b. The volatility of an equally weighted portfolio with 30 stocks is \%. (Round to two decimal places.)

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