The Volatility of Home Depot Share Prices Is 30% and That

question 97

Multiple Choice

The volatility of Home Depot share prices is 30% and that of General Motors shares is 30%.When I hold both stocks in my portfolio,the overall volatility of the portfolio is:

• A)30%
• B)26%
• C)28%
• D)20%
• E)More information needed.

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