Please answer the following questions that are based on An Introduction to Mathematical Finance and...

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Finance

Please answer the following questions that are based on An Introduction to Mathematical Finance and Applications. I will rate if all questions are answered and explained thoroughly. Thank you.

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(a) An investor plans to create a portfolio of ten stocks by shorting all of them. Can he use the Markowitz theory presented in this chapter? Explain your answer. b) Can you find two examples of pairs of stocks in the USA that are negatively correlated in the past? Are such occurrences common

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