Question: 2. (10 marks) Fill in the missing information assuming a correlation of -0.1. Standard Estimated Return 13% 31% Portfolio Weights Stock A Stock B 100%

2. (10 marks) Fill in the missing information assuming a correlation

2. (10 marks) Fill in the missing information assuming a correlation of -0.1. Standard Estimated Return 13% 31% Portfolio Weights Stock A Stock B 100% 80% 60% 40% 20% 0% T 16% 42% Discuss the diversification of this 2-stock portfolio and illustrate in a graph the risk-return trade-off

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