Question
The following table shows realized rates of return for two stocks. A B C 1 Year Stock A Stock B 2 1 5% 15% 3
The following table shows realized rates of return for two stocks.
| A | B | C | |
| 1 | Year | Stock A | Stock B |
| 2 | 1 | 5% | 15% |
| 3 | 2 | -29% | -14% |
| 4 | 3 | -6% | -2% |
| 5 | 4 | 5% | 28% |
| 6 | 5 | 14% | 8% |
| 7 | 6 | 11% | 7% |
1. What is the expected return of a portfolio with 50% invested in stock A and the remainder in stock B?
2.What is the standard deviation of a portfolio with 50% invested in stock A and the remainder in stock B?
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Exotic Alternative Investments Standalone Characteristics Unique Risks And Portfolio Effects
Authors: Kevin R. Mirabile
1st Edition
1785276107,1785276123
