You construct a portfolio containing two stocks, X and Y.You invest 76% of your funds in Stock

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You construct a portfolio containing two stocks, X and Y.You invest 76% of your funds in Stock X and the remainder in Stock Y.Stock X has an expected return of 9.9% and has a standard deviation of 6.9%.Stock Y has an expected return of 11.2% and has a standard deviation of 10.8%.The correlation between the two stocks is -0.1.What is the covariance between the two stocks (as a decimal - not a percentage - to 6 decimal places)?

Posted Date: May 18, 2024 09:01 PM

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You construct a portfolio containing two stocks, X and Y.You invest 76% of your funds in Stock

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