1. A risky asset has an expected rate of return of 10% and standard deviation of 20% while the risk-free asset has an expected return of 5%.If 80% of your portfolio is invested in the risky asset and 20% in the risk-free asset, the expected returns of the portfolio are ________ and standard deviation of your portfolio is ___________.
2. 8% ; 8%
3. 9% ; 16%
4. 8% ; 16%
5. 9% ; 8%