Stock mpq has a volatility of 25 and i 07 the market has


Stock MPQ has a volatility of 25% and ?i = 0:7. The market has volatility of 15%.

(a) How much idiosyncratic volatility does the stock have?

(b) What fraction of the variance is idiosyncratic?

 

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Finance Basics: Stock mpq has a volatility of 25 and i 07 the market has
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