Given the Returns of Two Stocks J and K in the Table

question 53

Multiple Choice

Given the returns of two stocks J and K in the table below over the next 4 years. Find the expected return and standard deviation of holding a portfolio of 40% of stock J and 60% in stock K over the next 4 years:

• A) 10.6% and 1.34%
• B) 10.6% and 1.79%
• C) 10.6% and 1.16%
• D) 14.3% and 2.02%

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Definitions:

Glorification

The act of praising or honoring someone or something in an excessive or overstated manner.

Introverts

Individuals who tend to be more inward-turning, focusing on internal thoughts, feelings, and moods rather than seeking out external stimulation.

Social Skills

Abilities used to communicate and interact with others effectively, encompassing both verbal and non-verbal communication, empathy, and listening skills.

Typology

A system for classifying phenomena into distinct types based on shared characteristics, often used to categorize leadership styles or organizational forms.