Question: Suppose your nancial advisor recommends three stocks to you He
Suppose your ﬁnancial advisor recommends three stocks to you. He claims the likelihood that the ﬁrst stock will increase in value at least 10% within the next year is 0.7, the likelihood the second stock will increase in value at least 10% within the next year is 0.55, and the likelihood the third stock will increase at least 10% within the next year is 0.20. Would it be unusual for all three stocks to increase at least 10%, assuming the stocks behave independently of each other?
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