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Business, 31.10.2019 00:31 dayanara72

Stocks a and b are quite similar: each has an expected return of 12%, a beta of 1.2, and a standard deviation of 25%. the returns on the two stocks have a correlation of 0.6. portfolio p has 50% in stock a and 50% in stock b. which of the following statements is correct? a. portfolio p has a standard deviation that is greater than 25%.b. portfolio p has an expected return that is less than 12%.c. portfolio p has a standard deviation that is less than 25%.d. portfolio p has a beta that is less than 1.2.e. portfolio p has a beta that is greater than 1.2.

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