Standard deviation of the portfolio invested in stocks

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Reference no: EM131861274

Stock A Stock B

Expected Return 7% 4%

Standard Deviation 11% 7%

Investment Proportions 0.6 0.40

Correlation = 0.55

Based on the table above, what is the standard deviation of the portfolio invested in Stocks A and B as described in table above?

a. 8.47%

b. 8.82%

c. 10.61%

d. 18.34%

e. 22.99%

f. 51.8%

Reference no: EM131861274

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