Question: a highly risk averse investor is considering adding one additional stock to three stock portfolio to form a four stock portfolio. the three stocks currenntly

a highly risk averse investor is considering adding one additional stock to three stock portfolio to form a four stock portfolio. the three stocks currenntly held all have b=1.0 and a perfect positive correlation with the market. potential new stocks a and b both have expected returns of 15% and both are equally correlated with the market with r=0.75. stock a SD is 12% and stock b SD is 8%
which stock should this investor add to his or her portfolio

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