Stock A in a two asset portfolio has an expected return of 14%. Stock B in the same portfolio has an expected return of 22%. Which of the following is the likely expected return for a portfolio containing both of these two assets?

Stock A in a two asset portfolio has an expected return of 14%. Stock B in the same portfolio has an expected return of 22%. Which of the following is the likely expected return for a portfolio containing both of these two assets? 



A) 14%
B) 15%
C) 22%
D) 25%




Answer: B


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