I'm having trouble understanding this question from the 2020 text.
If volatility A = 20% and volatility B = 40% and a portfolio is formed with half the money invested in each stock, then portfolio volatility must be
B. between 10% and 40%
Can anyone please help?
I have a question on Chapter 5 for the 2020 Part I Exam.
The Chapter 5 Question Set has an appendix starting on page 25. Do we have to study these for the exam? I don't recall these topics in the GARP textbook. Basically anything after page 25 of the question set?
- Elton & Gruber Chapter...