You plan to invest 31% of your portfolio in Company A with the remainder to be...
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You plan to invest 31% of your portfolio in Company A with the remainder to be invested in Company B. The standard deviation of Company A's stock returns is 19%. The standard deviation of Company B's stock returns is 21%. The correlation between the stock returns of Company A and Company B is 0.8. What is the standard deviation of your portfolio's returns (as a percentage to two decimal places)? Your answer should be expressed as a percentage to 2 decimal places but do not include a percent sign. For example, if your answer is 10.237%, you should enter 10.24. If your answer is 10.233%, you should enter 10.23. Please do not enter your answer as a decimal, such as 0.1024. Answer: You plan to invest 31% of your portfolio in Company A with the remainder to be invested in Company B. The standard deviation of Company A's stock returns is 19%. The standard deviation of Company B's stock returns is 21%. The correlation between the stock returns of Company A and Company B is 0.8. What is the standard deviation of your portfolio's returns (as a percentage to two decimal places)? Your answer should be expressed as a percentage to 2 decimal places but do not include a percent sign. For example, if your answer is 10.237%, you should enter 10.24. If your answer is 10.233%, you should enter 10.23. Please do not enter your answer as a decimal, such as 0.1024. Answer:
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Related Book For
Managerial Accounting
ISBN: 978-0697789938
13th Edition
Authors: Ray H. Garrison, Eric W. Noreen, Peter C. Brewer
Posted Date:
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