Question: 27. Portfolio Standard Deviation Security F has an expected return of 10 percent and a standard deviation of 53 percent per Page 366 year. Security

27. Portfolio Standard Deviation Security F has an expected return of

27. Portfolio Standard Deviation Security F has an expected return of 10 percent and a standard deviation of 53 percent per Page 366 year. Security G has an expected return of 13 percent and a standard deviation of 79 percent per year. a. What is the expected return on a portfolio composed of 40 percent of Security F and 60 percent of Security G? b. If the correlation between the returns of Security F and Security G is .35, what is the standard deviation of the portfolio described in part (a)

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