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Expected return and Standard Deviation of a portfolio

Question: Assume your friend's portfolio consists of two stocks A and B. The correlation coefficient of A and B is zero. Assuming the following additional data, calculate the risk and return of the portfolio.

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Question: Assume your friend's portfolio consists of two stocks A and B. The correlation coefficient of A and B is zero. Assuming the following additional data, calculate the risk and return of the ...

Solution Summary

The solution calculates the Expected return and Standard Deviation of a portfolio of 2 stocks given the expected returns and standard deviation of returns of the two stock, the coefficient of correlation of returns of the two stocks and the proportion of the two stocks in the portfolio.

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