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You are an investor and own a portfolio consisting of 2 stocks. The percentage of the portfolio that is invested in the first stock is
You are an investor and own a portfolio consisting of 2 stocks. The percentage of the portfolio that is invested in the first stock is 13% and the percentage of the portfolio that is invested in the second stock is 87%. The risk-free rate is 1.38%, the expected return for the first stock is 5.23% and the expected return for the second stock is 9.44%. The standard deviation of the first stock is 13.93% and the standard deviation of the second stock is 11.26%. The correlation between the stocks is 36.00%. What is the expected return on the portfolio? Write as a percentage to two decimal places %. What is the variance of the portfolio? Write the answer as a number to four decimal places What is the standard deviation of the portfolio. Write the answer as a percentage to two decimal places % What is the Sharpe Ratio for this portfolio? Write as a percentage to two decimal places %
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