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As chief investment officer of a smali endewment fund, you are considering expanding the fund's strategic asset allocation from just common stock (CS) and fixed-income

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As chief investment officer of a smali endewment fund, you are considering expanding the fund's strategic asset allocation from just common stock (CS) and fixed-income (Fi) to include private real estate partnerships (PR) as well: Current Allocatian: 60 percent of Asset CS,40 percent of Asset FI a. Calculate the expected return for the Proposed Alocation. Aound your answer to two decimal places. b. Calculate the wandard deviation for the Proposed Allocation, Do not round intermediate calculations, Round your answer to two decimal piaces. C. For both the Current and Proposed Allocations, calculate the expected risk premium per unit of risk (that is, (E(R0)AFA]o), Do not round intermediate calculations Round your answers to three decimal places. Current Allocation: Proposed Allocation: d. Usino vour calculations fram nart (c), explain which of these two portfolios is the most hikely to foll on the Markowitz efficient frontiez The -select. s the most likely to fall on the Markowitz efficlent frontier. current alscation portides

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