You have observed the following returns over time: Stock X Stock Y Year Price Div Price Div Market Returns 2005 20 0 11 0 0 2006 24 1.2 13 1.6 0.25 2007 26 0.5 17 0.5 0.18 2008 31 1 20 0.9 0.11 2009...

You have observed the following returns over time:


Stock X                                   Stock Y

Year               Price               Div                   Price           Div   Market Returns

2005                20                  0                      11              0                  0

2006                24                  1.2                   13              1.6                0.25

2007                26                  0.5                   17               0.5               0.18

2008                31                  1                      20               0.9               0.11

2009                33                  1.5                    23              1.2               0.12

2010                40                  2                       27              1.5               0.15

Compute the portfolio return and portfolio risk if the Stock A and Stock B are combined equally in a portfolio.