porlfolio p consists of two stocks: 50% is invested in stock A and 50% is invested in stock B. stock A has a standard deviation of 25% and a beta of 1.2, and stock B has a standard deviation of 35%...


porlfolio p consists of two stocks: 50% is invested in stock A and 50% is invested in stock B. stock A has a standard deviation of 25% and a beta of 1.2, and stock B has a standard deviation of 35% and a beta of 0.80. the correlation between thses stocks is 0.4.


A. what is the standard deviation of portfolio P ?


b. what is the beta od portfolio P ?


c. which stock is riskeir to a diversified investor?



Jun 06, 2022
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