Assume that you manage a risky portfolio with an expected rate of return of 17% and a standard deviation of 43%. The T-bill rate is 4%. Your client chooses to invest 70% of a portfolio in your fund and 30% in a T-bill money market fund.

a. What is the expected return and standard deviation of your client's portfolio? b. Suppose your risky portfolio includes the following investments in the given proportions:

What are the investment proportions of your clients overall portfolio, including the position in T-bills? c. What is the Sharpe ratio of your risky portfolio and your client's overall portfolio?

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