1. An investor has OMR 100,000 to invest in shares of Dhofar Ports and Muscat Clothing. The correlation between those two shares is -0.5.

The expected returns and standard deviation of which is as follows:

	_ (R)	s
Dhofar Ports	17	6
Muscat Clothing	25	10

1. Calculate the portfolio expected returns and standard deviation for the following allocations: (2 marks each)

Portfolio	Dhofar Ports(%)	Muscat Clothing (%)
B	80	20
C	50	50

2. How would you allocate the fund to achieve a minimum standard deviation? (1mark)