Question: Consider two assets A and B for which return distributions can be summarized as follows

Consider two assets A and B for which return distributions can be summarized as follows

r_AB= 0

What is the risk of the minimum risk portfolio composed of these two Stocks? (Hint: Use the calculus to minimize s_p²). Is the risk of the minimum risk portfolio below that of every constituent asset? What is the expected ROR on the minimum risk portfolio?

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