As a pension fund manager at Heitman Capital Management , you are considering three mutual funds. The first is a stock fund, the second is a long-term government and corporate bond fund, and the third is a T-bill money market fund that yields a sure rate of 5.0%. The probability distributions of the risky funds are:

	Expected Return	Standard Deviation
Stock fund (S)	20%	35%
Bond fund (B)	10%	20%

The correlation between the fund returns is -.245.

What is the minimum-variance portfolio proportion in stock fund?(sample answer: 24.50%)

What is the mean of the minimum variance portfolio? (sample answer: 15.40% What is the standard deviation of the minimum variance portfolio? (sample answer: 15.40%) What is the Sharpe ratio of the minimum variance portfolio? (sample answer: 0.55)