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You have a portfolio with a standard deviation of 30% and an expected return of 18%. You are considering adding one of the two stocks

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You have a portfolio with a standard deviation of 30% and an expected return of 18%. You are considering adding one of the two stocks in the following table. If after adding the stock you will have 50% of your money in the new stock and 50% of your money in your existing portfolio, what is the expected return and standard deviation of this new combined portfolio? ? Which stock A or B should you add Expected Return Standard Deviation Correlation with Your Portfolio's Returns Stock A Stock B 15% 15% 25% 10% 0.0 0.1

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