Question: Asset (A) Asset (B) E(R A ) = 10% E(R B ) = 14% (s A ) = 7% (s B ) = 8% W

Asset (A) Asset (B)
E(RA) = 10% E(RB) = 14%
(sA) = 7% (sB) = 8%
WA = 0.7 WB = 0.3
COVA,B = 0.0013

What is the standard deviation of this portfolio?

a) 4.51%

b) 5.94%

c) 6.75%

d) 7.09%

e) 8.62%

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