What Is the Standard Deviation of a Portfolio That Is

question 314

Multiple Choice

What is the standard deviation of a portfolio that is invested 40% in stock A and 60% in stock B, given the following information?

• A) 2.18%
• B) 2.57%
• C) 2.69%
• D) 2.84%
• E) 3.13%

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Definitions:

Evolution

The process by which different kinds of living organisms are thought to have developed and diversified from earlier forms during the history of the earth.

Genetic Bottleneck

A genetic bottleneck is an event where a significant reduction in population size occurs, leading to a decrease in genetic diversity and a change in allele frequencies.

Tasmanian Devils

A carnivorous marsupial found in Tasmania, known for its strong jaws, loud vocalizations, and nocturnal habits.

Founder Effect

A genetic phenomenon where a new population is established by a very small number of individuals from a larger population, leading to a reduced genetic diversity in the new population.