Question: Using this data: The Standard Deviation of the returns on Asset A is 0.20 The Standard Deviation of the returns on Asset B is 0.05

Using this data:

  • The Standard Deviation of the returns on Asset "A" is 0.20
  • The Standard Deviation of the returns on Asset "B" is 0.05
  • TheCovarianceof the returns on Assets "A" and "B" is 0.0030

What is theCorrelation Coefficient("Rho") of the returns of Asset "A" and Asset "B"?

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