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You have a portfolio which is comprised of 35 percent of stock A and 65 percent of stock B. What is the standard deviation of
You have a portfolio which is comprised of 35 percent of stock A and 65 percent of stock B. What is the standard deviation of this portfolio?
| State of the Economy | Probability | A | B | ||||||||
| Boom | 0.15 | 22 | % | 19 | % | ||||||
| Normal | 0.80 | 12 | % | 10 | % | ||||||
| Recession | 0.05 | -26 | % | -4 | % | ||||||
|
5.68 percent 6.41 percent 7.14 percent 9.08 percent 4.39 percent | |||||||||||
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Finance For Nonfinancial Managers
Authors: Gene Siciliano
2nd Edition
0071824367, 978-0071824361
