he expected return and variance for stock 2 are E(y)=3.40% and Var(y)=1. The covariance between the returns is xy=3. (a) What is the standard deviation (as a percent) for an investment in stock 1 ? What is the standard deviation (as a percent) for an investment in stock 2 ? Using the standard deviation as a measure of risk, which of these stocks is the riskier investment? An investment in stock 1 be risky compared with an investment in stock 2 . (b) What is the expected return and standard deviation, in dollars, for a person who invests $600 in stock 1 ? expected return $ standard deviation $ expected return standard deviation $ expected return $ standard deviation $ (e) Compute the correlation coefficient for x and y. Comment on the relationship between the returns for the two stocks. There is relationship between the variables