Shares Ndlovu and Tate have the followinal historic returns: Year: Share Ndlovu Returns(%) Share...

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Shares Ndlovu and Tate have the followinal historic returns:

Year: Share Ndlovu Returns(%) Share Tate Returns (%)

2009 -10 -3

2010 18.50 21.29

2011 38.67 44.25

2012 14.33 3.67

2013 33 28.30

Required:

1.1 Calculate which of the two shares had the most volatile returns over the five year perios.

1.2 By observing their returns, state whether you think the correlation coeffiient for the two shares is closer to 0.9 or -0.9, briefly explain your choice

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