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Author Question: The portfolio expected return of two investments: a. will be higher when the covariance is zero. ... (Read 146 times)

B

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on: Jun 24, 2018
The portfolio expected return of two investments:
 a. will be higher when the covariance is zero.
  b. will be higher when the covariance is negative.
  c. will be higher when the covariance is positive.
  d. does not depend on the covariance.

Question 2

The variance of a portfolio of two investments will be equal to the sum of the variances of the two investments when the covariance between the investments is zero.
  Indicate whether the statement is true or false


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aburgess

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Reply #1 on: Jun 24, 2018
Answer to Question 1

D

Answer to Question 2

T


B

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Reply 2 on: Jun 24, 2018
Excellent

vickybb89

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Reply 3 on: Yesterday
Great answer, keep it coming :)

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