Calculate the volatility of a portfolio

Reference no: EM13304654

Using the data in the following table, and the fact that the correlation of A and B is .00073, calculate the volatility (standard deviation) of a portfolio that is 60% invested in stock A and 40% invested in stock B.

Realized Returns
Year Stock A Stock B
1998 -9% 29%
1999 7% 26%
2000 10% 1%
2001 -7% -4%
2002 4% -5%
2003 8% 28%

Reference no: EM13304654

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