Standard deviation of portfolio with stock A? Standard deviation of portfolio with stock B? Which...

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Standard deviation of portfolio with stock A? Standard deviation of portfolio with stock B? Which stock would you add? Why?

oe ng t be if after adding the stock youwlha e 20% of) mo e in the nee a the fol You have a portfolio with a standard deviation o 30 and an expedi ie and 80% of your money in your existing portfolio, which one should you add? 18% You are con ing ad gone o the two s o is Expected Standard Correlation with Return Deviation Your Porttolio's Returns 15% 15% 25% 20% 0 2 0 6 Stock A Stock B Standard deviation of the portfolio with stock A Round to two decimal places) Standard deviation of the portfolio with stock Bis (Round to two deral places} Which stock should you add and why? (Select the best choice below) A. Add B because the portfolio is less risky when B is added B. Add A because the portfolio is less risky when A is added O C. Add either one because both portfolios are equally risky

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