Question
The table below shows the returns of two stocks, A and B, over a period of 6 months. If you invest 60% of your capital
The table below shows the returns of two stocks, A and B, over a period of 6 months. If you invest 60% of your capital in Stock A, and the rest in Stock B, what would be the standard deviation of the returns of your portfolio, over the same period?
| Month | Stock A | Stock B |
| Jan | 1.0% | 1.7% |
| Feb | 1.2% | -0.8% |
| Mar | 0.5% | -0.6% |
| Apr | 0.2% | 2.2% |
| May | 1.1% | -0.8% |
| June | -0.2% | 1.6% |
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Municipal Finances A Handbook For Local Governments
Authors: Catherine D. Farvacque-Vitkovic, Mihaly Kopanyi
1st Edition
082139830X, 978-0821398302
