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The investor is presented with the two following stocks and she chooses to invest 40% of her portfolio in stock A. Which of the following
The investor is presented with the two following stocks and she chooses to invest 40% of her portfolio in stock A. Which of the following statements is correct if the correlation between the stocks is 1?
The investor is presented with the two following stocks and she chooses to invest 40% of her portfolio in stock A. Stock A Stock B Expected Return 15% 20% Standard Deviation 30% 40% Which of the following statements is correct if the correlation between the stocks is 1? A. The expected return of the portfolio is 18% B. The standard deviation of the portfolio is 35% C. The standard deviation of the portfolio is 27% D. Both A and B are correctStep by Step Solution
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