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PLEASE SHOW WORK AND ANSWER You want to allocate your money between the risk free asset (0.017), a fixed income fund ( E(B)=0.089, Volatility (B)=0.12
PLEASE SHOW WORK AND ANSWER 
You want to allocate your money between the risk free asset (0.017), a fixed income fund ( E(B)=0.089, Volatility (B)=0.12 ), and a diversified stock fund (E(S)=0.147, Volatility (S)=0.18 ). The correlation between the two risky funds is 0.43 . When creating the optimal risky portfolio, how much weight in decimals should you invest in the diversified stock fund Step by Step Solution
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Elements Of Structured Finance
Authors: Ann Rutledge, Sylvain Raynes
1st Edition
0195179986, 978-0195179989
