A pension fund makes the following investments (Em): 1 January 2004 1 July 2004 1 January 2005 1 January 2006 12.5 6.6 7.0 8.0 The rates of return earned on money invested in the fund were as follows: 1 January 2004 10 30 June 2004 1 July 2004 to 31 December 2004 1 January 2005 to 31 December 2005 1 January 2006 to 31 December 2006 5% 6% 6.5% 3% You may assume that 1 January to 30 June and 1 July to 31 December are precise half-year periods. 0 Calculate the linked internal rate of return per annum over the three years from 1 January 2004 to 31 December 2006, using semi-annual sub-intervals. (3) (1) Calculate the time-weighted rate of return per annum over the three years from 1 January 2004 to 31 December 2006. [31 (ilo) Calculate the money-weighted rate of return per annum over the three years from 1 January 2004 to 31 December 2006 141 (iv) Explain the relationship between your answers to 0. (land (iii) above. (2) [Total 121