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What is the highest possible variance of portfolio

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Reference no: EM133113026

There are two assets: Asset 1: Expected return 7.5%, standard deviation 9% Asset 2: Expected return 11%, standard deviation 12%.

You are not sure about the correlation between 2 assets. You hold 30% of your portfolio in asset 1 and 70% in asset 2. What is the highest possible variance of your portfolio?

Reference no: EM133113026

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