This topic contains a solution. Click here to go to the answer

Author Question: Stock A has a beta of 1.6 and a standard deviation of 22%. Stock B has a beta of 1.2 and a standard ... (Read 64 times)

bryantpr01

  • Full Member
  • ***
  • Posts: 166
Stock A has a beta of 1.6 and a standard deviation of 22%. Stock B has a beta of 1.2 and a standard deviation of 27%. Portfolio AB was created by investing in a combination of Stocks A and B. Portfolio AB has a beta of 1.3 and a standard deviation of 20%. Which of the following statements is correct?

Portfolio AB has less money invested in Stock A than in Stock B.


Stock A has less market risk than Stock B but more stand-alone risk.


Stock A has less market risk than Portfolio AB.


Portfolio AB has the same amount of money invested in each of the two stocks.



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by bryantpr01 on Aug 7, 2023

RodrickHac

  • Full Member
  • ***
  • Posts: 174
    • anestencream.com
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 50% of students answer this correctly



bryantpr01

  • Member
  • Posts: 166
Reply 2 on: Aug 7, 2023
Thanks for the timely response, appreciate it


lindahyatt42

  • Member
  • Posts: 322
Reply 3 on: Yesterday
Great answer, keep it coming :)

 

Did you know?

The ratio of hydrogen atoms to oxygen in water (H2O) is 2:1.

Did you know?

Today, nearly 8 out of 10 pregnant women living with HIV (about 1.1 million), receive antiretrovirals.

Did you know?

Stevens-Johnson syndrome and Toxic Epidermal Necrolysis syndrome are life-threatening reactions that can result in death. Complications include permanent blindness, dry-eye syndrome, lung damage, photophobia, asthma, chronic obstructive pulmonary disease, permanent loss of nail beds, scarring of mucous membranes, arthritis, and chronic fatigue syndrome. Many patients' pores scar shut, causing them to retain heat.

Did you know?

Over time, chronic hepatitis B virus and hepatitis C virus infections can progress to advanced liver disease, liver failure, and hepatocellular carcinoma. Unlike other forms, more than 80% of hepatitis C infections become chronic and lead to liver disease. When combined with hepatitis B, hepatitis C now accounts for 75% percent of all cases of liver disease around the world. Liver failure caused by hepatitis C is now leading cause of liver transplants in the United States.

Did you know?

The FDA recognizes 118 routes of administration.

For a complete list of videos, visit our video library