What would be the expected return and risk on your portfolio

Reference no: EM13263791

Using the following information, find the Expected Return, Variance, and Standard Deviation for the returns on Stock 1 and Stock 2. Also, find the Covariance and Correlation Coefficient between the returns on Stocks 1 and 2. If you invest $10,000 in stock X and $25,000 in stock Y, what would be the expected return and risk on your portfolio?

States	Probability	Return on Stock_X	Return on Stock_Y
A	10%	15%	25%
B	25%	15%	20%
C	30%	17%	12%
D	35%	20%	10%

Reference no: EM13263791

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