Returns on stocks X and Y are listed below:

What is the correlation of returns on the two stocks?

Please round your answer to the nearest hundredth.

Note that the correct answer will be evaluated based
on the full-precision result you would obtain using Excel.

Period

1

2

3

4

5

6

7

Stock X

4%

7%

-2%

40%

0%

10%

-1%

Stock Y

2%

-5%

7%

4%

6%

11%

-4%

Period

1

2

3

4

5

6

7

Stock X

4%

7%

-2%

40%

0%

10%

-1%

Stock Y

2%

-5%

7%

4%

6%

11%

-4%

Summary statistics for returns on two stocks X and Y are listed below.

The covariance of returns on stocks X and Y is 0.001800. Consider a portfolio of 20% stock X and 80% stock Y. 

What is the mean of portfolio returns?

Please specify your answer in decimal terms and round your answer to the nearest thousandth (e.g., enter 12.3 percent as 0.123).