Do bonds reduce the overall risk of an investment portfolio? Let x be a random variable representing annual percent return for the Vanguard Total Stock Index (all Stocks). Let y be a random variable representing annual return for the Vanguard Balanced Index (60% stock and 40% bond). For the past several years, assume the following data. Compute the coefficient of variation for each fund. Round your answers to the nearest tenth.
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x:
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14
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0
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36
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22
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34
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24
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25
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-14
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-14
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-22
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y:
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10
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-2
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29
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17
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23
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18
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17
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-2
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-3
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-10
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