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?

	Expected Return	Standard Deviation	Correlation with Your Portfolio's Returns
Stock A	16%	23%	0.2
Stock B	16%	19%	0.7