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Answer questions 19-22 based on the following information: Suppose you are managing a mutual fund with two risky assets, Stock and Bon 30% and standard

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Answer questions 19-22 based on the following information: Suppose you are managing a mutual fund with two risky assets, Stock and Bon 30% and standard deviations of the two assets are: d. Suppose you decide to put ws - on the Stock and ws-70% on the Bond. The correlation between stock and bond is 10%. The expected returns Stock Bond Expected Return 20% 10% Standard Deviation 40% 20% How much will be the expected return and standard deviation of your portfolio? a, b. c, d, e. 19. 10%, 20% 13%, 19.33% 13%,30% 17%, 29.21% None of the above option is correct. 20 Your client plans to invest 70% of the investment budget on your portfolio and 30% of the investment budget on T-bills that provide 3% expected return. How much are the expected return and standard deviation of your client's portfolio? a. 10%; 13.53% b. 10%:19.33% . 13%; 13.53% d. 13%:15.25% e. None of the above option is correct. 21. Ifyou want to create a portfolio of stock and bond and your target expected return of 12%, how much should be the weight of the stock in your portfolio? a, 096 b, 20% c. 50% d. 80% e. None of the above options is correct

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