The covariance between the returns of stock A and stock B is −125. The standard deviation of the rates of return is 20 for stock A and 10 for stock B. The correlation coefficient of the rates of return between A and B is closest to __________.Multiple Choice−0.3750.3750.625−0.625

A portfolio is composed of two stocks, A and B. Stock A has a standard deviation of return of 35%, while stock B has a standard deviation of return of 15%. The correlation coefficient between the returns on A and B is 0.75. Stock A comprises 40% of the portfolio, while stock B comprises 60% of the portfolio. The standard deviation of the return on this portfolio is _________. Group of answer choices17.74%21.59%20.39%19.11%

If the standard deviation of returns for stock L is 0.27 and for stock M is 0.49 and the covariance between the returns of the two stocks is 0.0144.Which of the following statements is least accurate? Question 38Answera.The correlation between the two stocks is 0.108b.The returns of two stocks have direct relationship with each other.c.The returns of two stocks have indirect relationship with each other

Stock X has a standard deviation of return of 30%. Stock Y has a standard deviation of return of 20%. The correlation coefficient between the two stocks is 0.61. If you invest 60% of your funds in Stock X and 40% in Stock Y.The standard deviation of your portfolio is, therefore ______%.

If the covariance of returns between two equally-weighted securities A & B, whose standard deviations are 13% and 5% respectively, is −0.0080, the expected standard deviation of the portfolio is closest toQuestion 25Answera.1.65%b.2.91%c.0.085%

The covariance of returns is -0.0120. The standard deviation of a portfolio is 5%, whose 60% is invested in Security I and 40% in Security II. The variance of security A is 80% of security B. The variances of the securities should respectively be Question 31Answera.12.14% for A & 13.57 for Bb.1.47% for A & 1.84% for Bc.12.14% for A and 15.17% for B