Question: Using the data in the following table, and the fact that the correlation of A and B is 0.74, calculate the volatility (standard deviation) of

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 0.74, calculate the volatility (standard deviation) of a portfolio that 80% invested in stock A and 20% invested in stock B. Year 2008 2009 Realized Returns Stock A Stock B - 2% 16% 19% 40% 1% 15% -7% - 2% 3% - 12% 10% 23% 2010 2011 2012 2013 The standard deviation of the portfolio is %. (Round to two decimal places.)

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