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 rate of 6%. The probability distribution of the risky funds is as follows:

Expected Return	Standard Deviation
Stock fund (S)	15%	32%
Bond fund (B)	9	23

The correlation between the fund returns is 0.15.

1. What is the weight of the stock fund in the optimal risky portfolio?

2.What is the expected return of the optimal risky portfolio?

3. What is the standard Deviation of the optimal risky portfolio?

4. What is the reward to volatility ratio of the best feasible CAL?