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You have a portfolio with a standard deviation of 26% and an expected return of 19%. You are considering adding one of the two stocks

You have a portfolio with a standard deviation of 26% and an expected return of 19%. You are considering adding one of the two stocks in the following table. If after adding the stock you will have 30% of your money in the new stock and 70% of your money in your existing portfolio, which one should you add? (round two dec places)

Expected

Return

Standard

Deviation

Correlation with

Your Portfolio's Returns

Stock A 12% 25% 0.3
Stock B 12% 19% 0.7

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