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There are three securities in the market. The following chart shows their possible payoffs: State of Return on Return on Return on Outcome Security 1

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There are three securities in the market. The following chart shows their possible payoffs: State of Return on Return on Return on Outcome Security 1 Security 2 Security 3 .14 202 202 .052 .36 .152 .102 .102 .102 152 .152 .052 052 202 NM + 36 C-2. What is the standard deviation of a portfolio with half of its funds invested in Security 1 and half in Security 2? (Do not round Intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Security 182 e-2. What is the standard deviation of a portfolio with half of its funds Invested in Security 2 and half In Security 3? (Do not round Intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g. 32.16.) Security 283

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