What is the lowest possible portfolio risk you can achieve, Finance Basics

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What is the lowest possible portfolio risk you can achieve

Problem

You want to create a portfolio of three assets: a risk-free asset, stock A, and stock B. Standard deviation of stock A's return is 0.0925 and the standard deviation of stock B's return is 0.127. If you invest equal amounts in each asset, what is the lowest possible portfolio risk you can achieve?

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Finance Basics: What is the lowest possible portfolio risk you can achieve

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