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2)))) A Palestinian investor from Hebron city is considering investing in a small cap fund which has expected return of 19% annually and SD of

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2)))) A Palestinian investor from Hebron city is considering investing in a small cap fund which has expected return of 19% annually and SD of 33%. And would like also to invest in a Bond fund which has expected annual return of 8% and SD of 13%. The correlation between the 2 funds is 0.10. the weights of the funds are 63.6% should be invested in bond fund and 34.4% should be invested in a small cap fund. the portfolio risk is

14.67%

15.23%

12.67%

13.78%

You have the chance to invest in a two risky assets, A and B. the expected return and standard deviation for Asset Aare 20% and 50%. The expected return and standard deviation for asset B are 15% and 33%. The two assets have zero correlation with another. Calculate the expected return for the portfolio if you as an investor would like to invest 10% in Asset A and 90% in asset B 13.50% 15.50% 0 11.50% O 16.50%

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