I have decided to invest my money in just two stocks: one has a standard...
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I have decided to invest my money in just two stocks: one has a standard deviation of 20% and I am investing 25% of my money in it. The other has a standard deviation of 10% and I am investing the rest of my money in it. If the correlation coefficient of these two stocks is +0.5, my portfolio standard deviation would be:
Question 29 options:
9.79%
11.53%
18%
None of the above
Question 29 (4 points) I have decided to invest my money in just two stocks: one has a standard deviation of 20% and I am investing 25% of my money in it. The other has a standard deviation of 10% and I am investing the rest of my money in it. If the correlation coefficient of these two stocks is +0.5, my portfolio standard deviation would be: 9 79% 11.53% 18% None of the above
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