What is the smallest expected loss for your portfolio

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Reference no: EM131980743

Tyler Trucks stock has an annual return mean and standard deviation of 14 percent and 47 percent, respectively. Michael Moped Manufacturing stock has an annual return mean and standard deviation of 12.2 percent and 47 percent, respectively. Your portfolio allocates equal funds to Tyler Trucks stock and Michael Moped Manufacturing stock. The return correlation between Tyler Trucks and Michael Moped Manufacturing is .5. What is the smallest expected loss for your portfolio in the coming month with a probability of 16.0 percent? (Negative value should be indicated by a minus sign. Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Omit the "%" sign in your response.)

Smallest expected loss %

Reference no: EM131980743

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