Question: Using the data in the following table, and the fact that the correlation of A and B is 0.47 , calculate the volatility (standard deviation)

Using the data in the following table, and the fact that

Using the data in the following table, and the fact that the correlation of A and B is 0.47 , calculate the volatility (standard deviation) of a portfolio that is 70% invested it stock A and 30% invested in stock B. (Click on the following icon in order to copy its contents into a spreadsheet.) 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!

You are considering how to invest part of your retirement savings. You have decided to put $100,000 into three stocks: 59% of the money in GoldFinger (currently $19/share), 12% of the money in...

This is one of my last assignments for the semester and I really need help with these questions .. It is due tonight by midnight 11/24/2020 and I have uploaded the ones Ive tried my best on. If...

Finance: Please answer all. Please ensure that your calculations are correct. Thank you very much Question 1: Question 2: 2a. What is the average annual return? The average return is how many %.?...

Using the data in the following table, and the fact that the correlation of A and B is 073, calculate the volatility (standard deviation of a portfolio that is 50% invested in stock A and 50%...

Using the data in the following table, and the fact that the correlation of A and B is 0.20, calculate the volatility (standard deviation) of a portfolio that is 70% invested in stock A and 30%...

need help please! Using the data in the following table, and the fact that the correlation of A and B is 0.54, calculate the volatility (standard deviation) of a portfolio that is 50% invested in...

Using the data in the following table, and the fact that the correlation of A and B is 0.43, calculate the volatility (standard deviation) of a portfolio that is 50% invested in stock A and 50%...

Problem 11-11 Question Help Using the data in the following table, and the fact that the correlation of A and B is 0.63, calculate the volatility (standard deviation) of a portfolio that is 80%...

Problem 11-11 3 Question Help o Using the data in the following table, and the fact that the correlation of A and B is - 0.27, calculate the volatility (standard deviation) of a portfolio that is 80%...

Using the data in the following table, and the fact that the correlation of A and B is 0.60, calculate the volatility (standard deviation) of a portfolio that is 80% invested in stock A and 20%...

Determine the force in each member of the space truss and state if the members are in tension or compression. The truss is supported by ball-and-socket joints at A, B, and E. Set F = {800j} N. 2 m 5m...

Elton Company manufactures wheel rims. The controller expects the following ABC allocation rates for 2018: (Click the icon to view the allocation rates.) Elton produces two wheel rim models: standard...

How can I Calculate the compound average annual growth rates (CAGR) for revenue and net income using the Geomean function?Fiscal Year 2019 2018 2017 2016 Total Revenue 39,506.00 39,831.00 37,728.00...

The following data have been extracted from the financial statements of Prentiss, Inc., a calendar-year merchandising corporation: December 31, Balance Sheet Data 2017 2018 Trade accounts...

=+1. Suppose an economy described by the Solow model has the following production function: Y = K1/2(LE) 1/2. a. For this economy, what is f(k)?

=+ How does this differ from the Solow model?

=+ c. Two neighboring economies have the above production function, but they have different parameter values. Atlantis has a saving rate of 28 percent and a population growth rate of