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Need a help please. Thank you. A pension fund manager is considering three mutual funds. The first is a stock fund, the second is a
Need a help please. Thank you. 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 ylelds a sure rate of 5.2 %. The probability distributions of the risky funds are: Standard Expected Return Deviation Stock fund 13% 42% (s) Bond fund (B) 6% 36 % The correlation between the fund returns is .0222. Suppose now that your portfolio must yield an expected return of 12 % and be efficient, that is, on the best feasible CAL a. What is the standard deviation of your portfolio? (Do not round intermediate calculations. Round your answer to 2 decimal places.) % Standard deviation
Need a help please. Thank you.
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