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An investor invests 40 percent of his wealth in a risky asset with an expected rate of return of 0.15 and a variance of 0.04
An investor invests 40 percent of his wealth in a risky asset with an expected rate of return of 0.15 and a variance of 0.04 and 60 percent in a T-bill that pays 6 percent. His portfolio's expected return and standard deviation are __________ and __________, respectively.
A. | 0.096; 0.12 | |
B. | 0.295; 0.12 | |
C. | 0.795; 0.14 | |
D. | 0.114; 0.12 | |
E. | 0.096; 0.08 |
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