Ing Enabled: Midterm 2 Served Required information (The following information applies to the questions displayed below.) A pension fund manager is considering three mutual funds. The first is a stock fund, the second is a long-term government and corporate bond fund, and the third is a T-bill money market fund that yields a sure rate of 5.5%. The probability distributions of the risky funds are: Expected Return Standard Deviation Stock fund (S) 17% 40% Bond fund (8) 11% 31% The correlation between the fund returns is 0.10. Suppose now that your portfolio must yield an expected return of 14% and be efficient, that is, on the best feasible CAL Required: a. What is the standard deviation of your portfolio? (Do not round Intermediate calculations. Round your answer to 2 decimal places.) Standard deviation % S 18 of 22 Next > T