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Business, 19.10.2019 01:20 ReaLily

Assume that you manage a risky portfolio with an expected rate of return of 17% and a standard deviation of 43%. the t-bill rate is 4%. your client chooses to invest 70% of a portfolio in your fund and 30% in a t-bill money market fund.

a.
what is the expected return and standard deviation of your client's portfolio? (round your answers to 2 decimal places.)

expected return % per year
standard deviation % per year
b.
suppose your risky portfolio includes the following investments in the given proportions:

stock a 27%
stock b
36%

stock c 37%

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Answers: 3

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