Your client has $100,000 invested in stock A. She would like to build a two-stock portfolio by investing another $100,000 in either stock B or C. She wants a portfolio with an expected return of at least 14% and as low a risk as possible, but the standard deviation must be no more than 40%. What do you advise her to do, and what will be the portfolios expected return and standard deviation? Expected Return Standard Deviation Correlation with A A 15% 50% 1 B 13% 40% 0.2 C 13% 40% 0.3