ou are holding a portfolio of 100 shares of type I firms that are affected only by firm-specific risks. Each stock’s return has a volatility of 20%. What is the volatility of your portfolio’s average return?
ou are holding a portfolio of 100 shares of type I firms that are affected only by firm-specific risks. Each stock’s return has a volatility of 20%. What is the volatility of your portfolio’s average return?
Chapter8: Risk And Rates Of Return
Section: Chapter Questions
Problem 10PROB
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ou are holding a portfolio of 100 shares of type I firms that are affected only by firm-specific risks. Each stock’s return has a volatility of 20%. What is the volatility of your portfolio’s average return?
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