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Find the weight of stock a in the minimum

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Reference no: EM132743719

There are two stocks, A and B. Stock A has an expected return of 7.5% per year with a standard deviation of 11.0%. Stock B has an expected return of 5.0% per year with a standard deviation of 18.5%. The stocks have a covariance of 0.001 and the risk-free rate is 2.0% per year.

Find the weight of Stock A in the minimum-variance risky portfolio.

Answer in percentage points to 2 decimal places (ex: 1.50)

Reference no: EM132743719

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