As an investor you are considering investment in different stocks which have same level of risk and
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Question:
Lets suppose three stocks namely Apple, Microsoft, and Tesla, lets suppose the correlation among Apple and Microsoft is 0.60 , Apple and Tesla is 0.2and Tesla and Microsoft correlation is 0.90 Based on this information a portofilo conisting of which of the two stocks would have the lowest risk? Explain?
Related Book For
Principles Of Financial Accounting
ISBN: 9781118757147
1st Canadian Edition
Authors: Jerry J. Weygandt, Michael J. Atkins, Donald E. Kieso, Paul D. Kimmel, Valerie Ann Kinnear, Barbara Trenholm, Joan E. Barlow
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