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[This problem is related to Question 4 -1a] Consider the following table: Stock Fund Bond Fund Scenario Probability Rate of Return Rate of Return Severe
[This problem is related to Question 4 -1a] Consider the following table: Stock Fund Bond Fund Scenario Probability Rate of Return Rate of Return Severe recession 0.05 -36% -11% Mild recession 0.20 -12% 13% Normal growth 0.40 15% 4% Boom 0.35 32% 5% Calculate the value of the covariance between the stock and bond funds. (Negative value should be indicated by a minus sign. Do not round intermediate calculations. Enter your answer as a decimal number rounded to 5 decimal places.) Covariance
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