Consider two risky securities X and Y displaying the following information:

Security X Y

Expected return 0.10 0.15

Standard deviation 0.18 0.25

Correlation Coefficient between

Securities X and Y 0.7

The risk free rate is 4%. Determine the expected return and variance of return for a portfolio that is composed of 30 percent of security X, 50 percent of security Y, and 20 percent of risk-free assets.