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Your client has 5103.000 invested in stock A. She would like to build a two-stock portfolio by investing another $103,000 in either stock Bor C.

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Your client has 5103.000 invested in stock A. She would like to build a two-stock portfolio by investing another $103,000 in either stock Bor C. She wants a portfolio with an expected return of at least 15.0% 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 portfolio expected return and standard deviation? Expected Return Standard Deviation Correlation with A A 17% 46% 1.00 B 13% 39% 0.14 13% 39% 0.25 The expected return of the portfolio with stock (Round to one decimal place) The expected return of the portfoto with stock (Round to one decimo piace) The standard deviation of the portfolio with stock B Round 10 one decimal place) The standard deviation of the porthole with stock C Round to one decimal place) (Select from the drop-down menu.) You would advise your cient to choose because we produce the portal with the lower standard deviation

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