Multiple Choice
What is the standard deviation of a portfolio of two shares given the following data?
Share A has a standard deviation of 18%. Share B has a standard deviation of 14%. The portfolio contains 40% of Share A and the correlation coefficient between the two shares is -.23.
A) 9.7%
B) 12.2%
C) 14.0%
D) 15.6%
Correct Answer:
Verified
Correct Answer:
Verified
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