Problemyou own a portfolio that has 65 invested in asset a, Ask an Expert

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Problem:

You own a portfolio that has 65% invested in asset A, and 35% invested in asset B. Asset A's standard deviation is 15% and asset B's standard deviation is 11%. The correlation coefficient between the two assets is -0.32. The expected return on the portfolio is 11%.

Required:

Question: What is the portfolio standard deviation?

13.1%
11.2%
6.5%
9.3%

Note: Explain all calculation and formulas.

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Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M91148401

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