Consider Two Perfectly Negatively Correlated Risky Securities, K and L

question 44

Multiple Choice

Consider two perfectly negatively correlated risky securities, K and L. K has an expected rate of return of 13% and a standard deviation of 19%. L has an expected rate of return of 10% and a standard deviation of 16%.
The weights of K and L in the global minimum variance portfolio are _____ and _____, respectively.

• A) 0.24; 0.76
• B) 0.50; 0.50
• C) 0.46; 0.54
• D) 0.45; 0.55
• E) 0.76; 0.24

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Structural or functional deviations in the brain that can lead to various neurological or psychological conditions.

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The main or direct factors leading to an event or condition.

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A condition characterized by significant limitations in both intellectual functioning and in adaptive behavior, which covers many everyday social and practical skills.

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A person's ability to manage their everyday tasks and live independently, often used as an indicator of their intellectual and developmental capabilities.