Question: Stock A has expected return rate 15% and standard deviation 1.7%. Stock B has expected return rate 7% and standard deviation 1.1. %. The correlation

Stock A has expected return rate 15% and standard deviation 1.7%. Stock B has expected return rate 7% and standard deviation 1.1. %. The correlation coefficient between the 2 stocks is 0.62. If you invest 30% of your funds to stock A and 70% to stock B and the level of risk aversion is 4, which you would prefer, Stock A, B or the portfolio?

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