Question: Using the data in the copy a contents into wing table, and the fact that the correlation of A and B is 0.54, calculate the

Using the data in the copy a contents into wing table, and the fact that the correlation of A and B is 0.54, calculate the volatility (standard deviation) of a portfolio that is 70% invested in stock A and 30% invested in stock B. (Click on the following icon in ord a spreadsheet) Reallrad Returne Year Stock A Stock B 2008 -11% 17% 2009 30% 20% 2010 0% 8% 2011 -3% -IN 2012 15 -4% 2013 12% 31% The standard deviation of the porte is Rund to be decimal places) Time Remaining: 01:12:28 esc O * 20 F11 2 F2 #3 3 F3 54 4 000 800 4 25 % FS ^ 6 MacBook Air 44 14 & a 7 * 8 11 FB 9 F9 0 F10 11 Next 112 5 Using the data in the following table, and the fact that the correlation of A and B is 0.54 to copy its contents into a spreadsheet.) Realized Returns Year Stock A Stock B 2008 -11% 17% 2009 20% 26% 2010 6% 6% 2011 - 3% -8% 2012 1% -4% 2013 12% 31% The standard deviation of the portfolio is%. (Round to two decimal places.)

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

= Homework: Co... Question 10, P 12-12 (si... Part 1 of 3 HW Score: 78.49%, 24.33 of 31 points O Points: 0 of 1 Save The following table contains monthly returns for Cola Co. and Gas Co. for 2013 B...

The following table contains monthly returns for Cola Co and Gas Co, for 2010 (the returns are shown in decimal form. te, 0.035 is 35%) Using this table and the fact that Cola Co, and Gas Co have a...

The following table contains monthly returns for Cola Co. and Gas Co. for 2013 (the returns are shown in decimal form, i.e., 0.035 is 3.5%). Using this table and the fact that Cola Co. and Gas Co....

Question 24, P 12-12 HW Score: 35.48%, 11 of 31 Homework: Homework 4 (similar to) points Save P 12-12 (similar to) O Points: 0 of 1 The following table contains monthly returns for Cola Co and Gas...

The following table contains monthly returns for Cola Corporation and Gas Corporation for 2012: 5: (The returns are shown in decimal form, i.e., 0.035 is 3.5%.) Using this table and the fact that...

A, B, & C, please! The following table contains monthly returns for Cola Co. and Gas Co. for 2010 B (the returns are shown in decimal form, i.e., 0.035 is 3.5%). Using this table and the fact that...

The following table contains monthly returns for Cola Co. and Gas Co. for 2010 !(the retums are shown in decimal form, i.e., 0.035 is 3.5%). Using this table and the fact that Cola Co. and Gas Co....

K A hedge fund has created a portfolio using just two stocks. It has shorted $36,000,000 worth of Oracle stock and has purchased $83,000,000 of Intel stock. The correlation between Oracle's and...

Score: 0 of 2 pts 6 of 10 (5 complete) HW Score: 33.33%.... P 12-12 (book/static) Question Help The following table contains monthly returns for Cola Co, and Gas Co. for 2010 (the returns are shown...

Discuss the benefits and potential risks of sharing product data with external users through use of a PLM system.

What are subsequent receipts tests? Why do they provide useful evidence about accounts receivable valuations?

am ri , a Lori a passive investor, invested $ 2 0 0 , 0 0 0 into BIG Corp. In year one, the corporation had a loss of $ 0 0 0 0 0 . How much of the loss wal be suspended at the passive activity...

Data table Data Table X - Perience manufactures snowboards. Its cost of making 1,890 bindings is as follows: (Click the icon to view the costs.) Suppose an outside supplier will sell bindings to...