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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
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 3.0%. The probability distributions of the risky funds are: The correlation between the fund returns is .0667. What is the expected return and standard deviation for the minimum-variance portfolio of the risky funds
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