Two-Asset Portfolio
Stock A has an expected return of 12% and a standard deviation of 40%. Stock B has an expected return of 17% and a standard deviation of 60%. The correlation coefficient between Stocks A and B is 0.2.
What is the expected return of a portfolio invested 25% in Stock A and 75% in Stock B? Round your answer to two decimal places.
______ %
What is the standard deviation of a portfolio invested 25% in Stock A and 75% in Stock B? Round your answer to two decimal places.
______ %