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Assume that you manage a risky portfolio with an expected rate of return of 20% and a standard deviation of 20%. The T-bill rate is
Assume that you manage a risky portfolio with an expected rate of return of 20% and a standard deviation of 20%. The T-bill rate is 5%. Your client is investing 80% of his wealth in your fund and 20% in the T-bill. What is the Sharpe ratio of your client's position?
0.55
0.75
0.65
0.85
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