64

64 But yet ed You construct an equally weighted, two asset portfolio between ACME Corp. an American valve and regulator manufacturer and Wayne Enterprises, a Hong Kong property company. The standard deviation of the returns on ACME shares is 30% and 55% on Wayne Enterprises. Because of the international diversification, the returns on the two companies have no covariance (correlation - zero) What is the storidard deviation of return of the portfolio? Maand outal 100 ton Apply the equation for the standard deviation of a 2 asset portfolio Select one: O 0.42.5% @ 122.59 OC 9.81% O d. 17.6% De 3132 search 11 1 & w 1023 AM