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please answer tbis question base on the photo i attach bellow. thankyou CHAPTER CASE INVESTMENT OF PENSION MONEY ( PART 2 ) You are discussing

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please answer tbis question base on the photo i attach bellow. thankyou

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CHAPTER CASE INVESTMENT OF PENSION MONEY ( PART 2 ) You are discussing the investment of your pen - I sion money with Samson Lee , a representative Assume the correlation between Red Rock Band Fund and Red Rock Large - Cap Fund is 0. 15 . Except of Red Rock Financial Services . Samson is talk - the names of the funds , the information below is the ing over the various investment options ( similar to same as that in Chapter 10 : those mentioned in Chapter Case of Chapter 10 ) with you . You are confident in the ability of the man - 10 - Year Standard agement of your company , Sunshine Consultancy* Annual Return Deviation Services . You believe that the company is growing Red Rock Hang and will achieve a greater market share in future . Hang Index Fund 8. 5% 21. 9% You think you should support your employer . Given* Red Rock* Small - Cap Fund 13.5 24.5 these considerations , along with the fact that you Red Rock are a conservative investor , you are leaning toward Large - Cap Fund B. B 22.88 investing 100 percent of your pension money into Red Rock Sunshine . Bond Fund 6. 3 9. 1 1 . Considering the effects of diversification , would* 3 . Using the returns for Red Rock Large - Cap Fund Samson advise you to invest 100 percent of your and Red Rock Bond Fund , calculate the oppor - pension money in Sunshine Consultancy Services* tunity set of feasible portfolios . stock ? 4 . To have more varieties in stock investment , you* 2. Samson's response to investing all your pension* are also interested in investing in Red Rock Hang money in Sunshine Consultancy Services stock* Hang Index Fund . Using the returns for Red Rock has convinced you that this may not be the best Bond Fund and Hang Hang Index Fund , calcu- alternative . You are a conservative investor , you tell! late the opportunity set of feasible portfolios . The Samson that investing all the pension money into correlation between Red Rock Band Fund and bond funds may be the best alternative . Isn't it ?" Hang Hang Index Fund is 0 . 18

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