3. A pension fund manager is considering three mutual funds. The first is a stock fund, the second is a long-term government and corporate bond fund, and the third is a T-bill money market fund that yields a sure rate of 4.9%. The probability distributions of the risky funds are: Stock fund (S)10% Bond fund (B) 5% 39% 33% The correlation between the fund returns is 0.0030. What is the expected return and standard deviation for the minimum variance portfolio of the two risky funds? Hint: Use the formula and parameters: The parameters of the opportunity set of possible portfolios are: Elcs) = 10%, Ele) = -5%, S = 39%, gu = 33%, p = 0.0030, r;= 4.9% The covariance between stocks and bonds is calculated as: Saxle Cal - egeu 0,? - Cov Wols) 03 +07 - 2 Cover) Variance for the min var portfolio: exte = [w:70;+ wion" + 2w.w. Color