Question
Assume that you manage a risky portfolio with an expected rate of return of 17.8% and a standard deviation of 27.9%. The T-bill rate is
| Assume that you manage a risky portfolio with an expected rate of return of 17.8% and a standard deviation of 27.9%. The T-bill rate is 6.5%. |
| Required: | |
| (a) | Your client chooses to invest 70% of a portfolio in your fund and 30% in a T-bill money market fund. What is the expected return and standard deviation of your client's portfolio? |
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Multinational Financial Management
Authors: Alan C Shapiro, Paul Hanouna
11th Edition
1119559901, 9781119559900
