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Question
Stock A has a standard deviation of 15 percent per year and stock B has a standard deviation of 8 percent per year. The correlation between stock A and stock B is .40. You have a portfolio of these two stocks wherein stock B has a portfolio weight of 40 percent. What is your portfolio variance?A. .01143
B. .01214
C. .01329
D. .01437
E. .01470
Answer
This answer is hidden. It contains 66 characters.
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