You have a portfolio with a standard deviation of 25 % and an expected return of 20 %. You are considering adding one of the two stocks in the following table. If after adding the stock you will have 20 % of your money in the new stock and 80 % of your money in your existing portfolio, which one should you add?

A. Standard deviation of the portfolio with stock A is____%

B. Standard deviation of the portfolio with stock B is_____%

Stock A Stock B Expected Return 15% 15% Standard Deviation 26% 16% Correlation with Your Portfolio's Returns 0.2 0.5