You have a portfolio with a standard deviation of 26 % and an expected return of 17 %. You are considering adding one of the two stocks in the following table. If after adding the stock you will have 20 % of your money in the new stock and 80 % of your money in your existing portfolio, which one should you add?
Expected Return | Standard Deviation | Correlation with your portfolios return | |
Stock A | 13% | 25% | 0.3 |
Stock B | 13% | 20% | 0.6 |
a) The standard deviation of the portfolio with stock A is ............%. (Round to two decimal places.)
b) Standard deviation of the portfolio with stock B is .............%? (Round to two decimal places.)
c) Which stock would you add to your portfolio?
You have a portfolio with a standard deviation of 26 % and an expected return of...
You have a portfolio with a standard deviation of 26% and an expected return of 20%. You are considering adding one of the two stocks in the following table. If after adding the stock you will have 30% of your money in the new stock and 70% of your money in your existing portfolio, which one should you add? Expected Return 12% 12% Standard Deviation 24% 19% Correlation with Your Portfolio's Returns 0.4 0.6 Stock A Stock B Standard deviation...
You have a portfolio with a standard deviation of 30 % and .an expected return of 15 %. You are considering adding one of the two stocks in the following table. If after adding the stock you will have 30 % of your money in the new stock and 70 % of your money in your existing portfolio, which one should you add? Expected Return: (ER) Standard Deviation:(STNDDEV) Correlation with Your Portfolio's Returns(Corr) Stock A (ER) 15% (STNDDEV)25% (Corr)0.3 Stock...
You have a portfolio with a standard deviation of 20% and an expected return of 20%. You are considering adding one of the two stocks in the following table. If after adding the stock you will have 20% of your money in the new stock and 80% of your money in your existing portfolio, which one should you add? Expected Return Standard Deviation Correlation with Your Portfolio's Returns Stock A 15% 22% 0.4 Stock B 15% 18% 0.6 Standard deviation...
You have a portfolio with a standard deviation of 28% and an expected return of 17%. You are considering adding one of the two stocks in the following table. If after adding the stock you will have 30% of your money in the new stock and 70% of your money in your existing portfolio, which one should you add? Expected Return 16% 16% Standard Deviation 21% 16% Correlation with Your Portfolio's Returns Stock A Stock B 0.3 0.7 Standard deviation...
P 12-18 (similar to) 8 You have a portfolio with a standard deviation of 28% and an expected return of 20%. You are considering adding one of the two stocks in the following table. If after adding the stock you will have 25% of your money in the new stock and 75% of your money in your existing portfolio, which one should you add? Expected Return Standard Correlation with Your Portfolio's Returns Deviation Stock A 16% 21% 0.2 Stock B...
Standard deviation must be rounded to two decimal places. You have a portfolio with a standard deviation of 30% and an expected return of 16%. You are considering adding one of the two stocks in the following table. If after adding the stock you will have 20% of your money in the new stock and 80% of your money in your existing portfolio, which one should you add? Correlation with Your Portfolio's Returns Expected Return 16% 16% Standard Deviation 23%...
P 12-18 (similar to) Question Help You have a portfolio with a standard deviation of 26% and an expected return of 15% You are considering adding one of the two stocks in the following table. If after adding the stock you will have 20 % of your money in the new stock and 80 % of your money in your existing portfolio, which one should you add? Еxpected Standard Correlation with Your Portfolio's Retuns Return Deviation Stock A Stock B...
You have a portfolio with a standard deviation of 20% and an expected retum of 17%. You are considering adding one of the two stocks in the following table. If her adding the stock you will have 20% of your money in the new stock and 80% of your money in your existing portfolio, which one should you add? Expected Return 12% 12% Standard Deviation 24% 195 Correlation with Your Portfolio's Returns 02 Stock A Stock B Standard deviation of...
Problem #5 (12 Marks) You have a portfolio with a standard deviation of 30% and an expected return of 18%. You are considering adding one of the two stocks in the table below to your portfolio. After adding the stock, you will have 20% of your money in the new stock and 80% of your money in your existing portfolio. A) Calculate the risk and return of a new portfolio with 20% invested in stock A and 80% in your...
a. The expected rate of return for portfolio A is The standard deviation of portfolio A is a. The expected rate of return for portfolio B is The standard deviation of portfolio B is Score: 0 of 1 pt | 4 of 9 (2 complete) HW Score: 22.22%, 2 of 9 pts P8-7 (similar to) :& Question Help (Computing the expected rate of return and risk) After a tumultuous period in the stock market, Logan Morgan is considering an investment...