Find standard deviation of a portfolio

Reference no: EM1357242

You put half of your money in a stock that has an expected return of 14% and a standard deviation of 24%. You put the rest of your money in another stock that has an expected return of 6% and a standard deviation of 12%. The two stocks have a correlation coefficient of 0.55. The standard deviation of the resulting portfolio will be:

a) more than 18% but less than 24%
b) equal to 18%
c) less than 18%
d) there is not sufficient information to answer this question

Reference no: EM1357242

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