A portfolio is made up of 75% of stock 1 and 25% of stock 2. Stock 1 has a variance of .08 and Stock 2 has a variance of .035. The covariance between the stocks is -.001. Calculate the variance & standard deviation of this portfolio and please explain your work.© BrainMass Inc. brainmass.com June 3, 2020, 5:53 pm ad1c9bdddf
The solution shows the formulas and calculations to arrive at the correct answer to the problem.