Question
Assume that you manage a risky portfolio with an expected rate of return of 21% and a standard deviation of 33%. The T-bill rate is
Assume that you manage a risky portfolio with an expected rate of return of 21% and a standard deviation of 33%. The T-bill rate is 7%. Your client chooses to invest 75% of a portfolio in your fund and 25% in a T-bill money market fund. Suppose that your risky portfolio includes the following investments in the given proportions:
Stock A :29 %
Stock B: 36 %
Stock C: 35 %
What are the investment proportions of your clients overall portfolio, including the position in T-bills? (Round your answers to 1 decimal place. Omit the "%" sign in your response.) Investment Proportions
T-Bills ____%
Stock A ____%
Stock B ____%
Stock C ____%
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