Question: Suppose the expected return on Stock X is 8% and its volatility is 30%. The expected return on Stock Y is 4% and its volatility

Suppose the expected return on Stock X is 8% and its volatility is 30%. The expected return on Stock Y is 4% and its volatility is also 30%.

How does the minimum variance portfolio in the case of correlation 0 (uncorrelated) compare to the minimum variance portfolio in the case of correlation -1 (perfect negative correlation)? Select all correct answers from the list below.

Group of answer choices

portfolio under correlation=0 has same volatility as portfolio with correlation =-1

portfolio under correlation=0 has lower expected return than portfolio with correlation =-1

portfolio under correlation=0 has higher expected return than portfolio with correlation =-1

portfolio under correlation=0 has the same expected return as portfolio with correlation =-1

portfolio under correlation=0 has lower volatility than portfolio with correlation =-1

portfolio under correlation=0 has higher volatility than portfolio with correlation =-1

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