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Your portfolio allocates equal funds to DW Co . and Woodpecker, Inc. DW Co . stock has an annual return mean and standard deviation of

Your portfolio allocates equal funds to DW Co. and Woodpecker, Inc. DW Co. stock has an annual return mean
and standard deviation of 15 percent and 38 percent, respectively. Woodpecker, Inc., stock has an annual return
mean and standard deviation of 10.2 percent and 52 percent, respectively. The return correlation between DW
Co. and Woodpecker, Inc., is zero. What is the smallest expected loss for your portfolio in the coming month
with a probability of 16 percent? (A negative value should be indicated by a minus sign. Do not round
intermediate calculations. Round the z-score value to 3 decimal places when calculating your answer. Enter
your answer as a percent rounded to 2 decimal places.)
Answer is complete but not entirely correct.
Smallest expected loss
8.19%
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