Tiêu đề 3.1 Portfolio Risk And Return Part I.pdf ✅

3.01 Portfolio Risk And Return Part I Question 1 The European Central Bank (ECB) will raise, maintain, or lower interest rates. Three investments will react differently to the ECB decision. Each scenario is equally likely to occur, and each investment has an expected return of 5%. Which combination of investments has the lowest expected portfolio standard deviation? A. A and B B. A and C C. B and C Question 2 An analyst researches a portfolio that holds two securities, Stock A and Stock B, and collects the following data: The analyst determines that the correlation coefficient (ρ) between Stock A and Stock B is 0.65. The expected variance of the portfolio is closest to: A. 0.0087 B. 0.0120 C. 0.0153 Question 3 An analyst researches a portfolio that holds two stocks, Stock A and Stock B. The following data is collected: