beta coefficient, and required return on the stock if the market risk prema an increase in perceived market risk? (portfolio risk) An investor decides to create a portfolio of two stocks: Ricky Ricky has an expected return of 15% and the standard deviation of its return is 7%. Saf, Inc on the other hand is not as risky. It has an expected return of 8% and the standard deviation of is expected to 3%. The correlation coefficient of the two stock's return is 0.12. If the investor invests 80% in Ricky stock and the rest in Sal's stock, what is the portfolio's expected return and standa deviation? Is the investor better off with the portfolio, compared to 100% in either Ricky or sa stock? Explain your conclusion. Jonidor to create a portfolio of two stocks: Ricky, Inc. and Saf, Inc. . Saf Ins on the