The following table shows the covariances between stocks x,y and z Cowariances X 2 0.0000 0.0000455 0.0000029 Y 0.0000455 0.0000 -0.0000061 Z 0.0000029 0.0000061 0.000 QUESTION 2 (4 marks): Use the information in the covariances table and any other information you may need. 2a) If you had to choose only two stocks to invest in, which two would you LEAST LIKELY select together and why? 2b) If you had to choose only two stocks to invest in which two would you MOST LIKELY select together and why? The following table shows the expected return for each of the 3 stocks. It also shows the set risk level of 1.1% ER 0.004078 0.00558 -0.00223 y Z Weights 0 0.4507 0.5492 1 ??? 0.00012 ERP Variance Portfolio Std. deviation Portfolio 0.011