Question: please answer easily to understand 3. Consider two assets A and B for which return distributions can be summarized as follows: E[ri] 3% Asset A

please answer easily to understand

please answer easily to understand 3. Consider two assets A and B

3. Consider two assets A and B for which return distributions can be summarized as follows: E[ri] 3% Asset A Asset B Correlation Coefficient O i 1% 2% 7% PAB = 0 What is the risk of the minimum risk portfolio composed of these two Stocks? (Hint: Use the calculus to minimize Op?). 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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