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The volatility of Home Depot share prices is 30% and that of General Motors shares is 30%. When hold both stocks in my portfolio with

The volatility of Home Depot share prices is 30% and that of General Motors shares is 30%. When hold both stocks in my portfolio with an equal amount in each, and the stocks returns have a correlation of minus 1, the overall volatility of returns of the portfolio is ________.

A) more than 30%

B) unchanged at 30%

C) zero

D) equal to 60%

E) None of above

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