These stocks as the only holding in your portfolio

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Stocks A, B, and C have expected returns of 16 percent, 16 percent, and 12 percent, respectively, while their standard deviations are 43 percent, 31 percent, and 31 percent, respectively. If you were considering the purchase of each of these stocks as the only holding in your portfolio and the risk-free rate is 0 percent, which stock should you choose? (Hint: the Coefficient of Variation (CV) measures the risk of an investment for each 1% of expected return; in other words, the higher the CV, the greater the risk. Round answers to 2 decimal places, e.g. 15.25.) Coefficient of variation of Stock A Coefficient of variation of Stock B Coefficient of variation of Stock C Choose .

Reference no: EM132042859

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