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Double T Farms has a portfolio consisting of two investments, X and Y. 30% of...

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Double T Farms has a portfolio consisting of two investments, X and Y. 30% of the portfolio is invested in X and 70% of the portfolio is invested in Y. Descriptive statistics are as follows: Investment X 0.07 Investment Y 0.12 Portfolio 0.1050 Expected rate of return Standard Deviation 0.04 0.10 0.0745 The correlation coefficient between Investment X and Y is 0.30. Suppose the correlation coefficient decreased to -0.30. How would this decrease impact portfolio risk? O a. Negative correlation would not result in any change in portfolio risk. b. Cannot be determined. c. Negative correlation would reduce portfolio risk. d. Negative correlation would increase portfolio risk

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