Question: Stock A has four possible scenarios with probable return outcomes as below. What is Stock A's risk (standard deviation)? Please write your answer as a
Stock A has four possible scenarios with probable return outcomes as below.
What is Stock A's risk (standard deviation)? Please write your answer as a percentage with two decimals without the sign (e.g. if your answer is 20.22%, write 20.22)
(To calculate the STDEV, you must calculate the variance first)
Scenario Probability HPR (%)
Recession 10% -40%
Stagnant 20% -5%
Growth 40% 10%
Boom 30% 35%
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