What Is the Standard Deviation of a Portfolio Which Is

question 148

Multiple Choice

What is the standard deviation of a portfolio which is invested 20% in stock A, 30% in stock B and 50% in stock C?

• A) 0.6%
• B) 0.9%
• C) 1.8%
• D) 2.2%
• E) 4.9%

---

Definitions:

Negative Signal

An indication or warning of potential problems, risks, or undesirable outcomes, often leading to a reassessment of strategies or decisions.

Bonus Pay

A plan that provides one-time payments based on performance accomplishments.

Lump-sum Payment

A one-time payment for the total amount owed, as opposed to payments divided into installments.

Performance Targets

Specific goals set by organizations or individuals aiming to achieve a defined level of performance over a given period.