Question: You have the following return data on six stocks

You have the following return data on six stocks:


a. Graph the returns of each stock (ABC, DEF, GHI, JKL, and MNO) against the returns of XYZ.
b. Based on the five graphs, which stocks are positively correlated with XYZ?
c. Based on the five graphs, which stocks are negatively correlated with XYZ?
d. Based on the five graphs, which stocks are uncorrelated with XYZ?
e. Calculate the correlation between the five stocks and XYZ to check your results from parts (b) to(d).
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  • CreatedFebruary 25, 2015
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