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Problem 11 Intro Suppose that you manage a fund with a standard deviation of 32% and an expected return of 19%. Your fund consists of
Problem 11 Intro Suppose that you manage a fund with a standard deviation of 32% and an expected return of 19%. Your fund consists of the following investments: | Proportion Stock A 40% Stock B 21% Stock C 12% Stock D 27% The Treasury bill rate is 4%. An investor wants to invest a proportion of his investment budget in a T-bill money market fund and the remaining proportion in your fund. Part 1 Attempt 1/10 for 10 pts. What proportion of the investor's money should be invested in your fund in order to achieve an expected return of 16%? 2+ decimals Submit Part 2 Attempt 1/10 for 10 pts. What proportion of the investor's complete portfolio will be invested in stock B? 3+ decimals Submit
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