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Suppose that you construct a portfolio with three stocks, where you diversify 30%, 20%, and 50% of your investment into JPM (JP Morgan), Tesla, and
Suppose that you construct a portfolio with three stocks, where you diversify 30%, 20%, and 50% of your investment into JPM (JP Morgan), Tesla, and Disney. The expected rate of return for 2020 on stock of JPM, Tesla, and Disney is +2%, +5%, and -2%, respectively. Calculate the expected return of your portfolio for 2020.
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