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You have the following information about the probability of the three possible states of the economy and the corresponding returns on asset X, the market
You have the following information about the probability of the three possible states of the economy and the corresponding returns on asset X, the market portfolio and asset Y. Available Assets State of the Economy Probability Asset X Market Portfolio Asset Y Boom 35% 0.14 0.25 0.05 Normal 30% -0.16 0.1 0.05 Recession 35% 0.14 -0.05 0.05 What is the covariance between stock X and the market portfolio
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