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A portfolio manager is providing recommendations to her clients. Her research department has prepared the following information for her: Portfolio Forecasted Return std dev Stock

A portfolio manager is providing recommendations to her clients. Her research department has prepared the following information for her:

Portfolio	Forecasted Return	std dev
Stock X	10.0%	5%
Stock Y	15.0%	12%
Risk-free	5.0%	0%

Draw the Capital Allocation Line of Stock X and Stock Y in one xy-coordinate system.

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