Consider the following information for Exxon and Merck: - Expected return for each stock is 15 percent. -Standard deviat

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answerhappygod
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Consider the following information for Exxon and Merck: - Expected return for each stock is 15 percent. -Standard deviat

Post by answerhappygod »

Consider the following information for Exxon and Merck:
- Expected return for each stock is 15 percent.
-Standard deviation for each stock is 22percent.
-Covariances with other securities vary
Everything else being equal, would the prices of these two
stocks be expected to be the same? Why or why not?
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