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The returns of two stocks, A and B, over the past five years are shown below. At the beginning of every year, you keep
The returns of two stocks, A and B, over the past five years are shown below. At the beginning of every year, you keep 65% of your investment in stock A and 35% in stock B. Compute the standard deviation of the returns of your portfolio. Year B A 12345 14% -9% -6% 32% 3 2% -19% -16% 34% 5 19% -6% O 14.31% O 19.17% O 2.89% O 17.97% O 6.07%
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