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Problem 6-18 You manage a risky portfolio with an expected rate of return of 17% and a standard deviation of 38%. The T-bill rate is

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Problem 6-18 You manage a risky portfolio with an expected rate of return of 17% and a standard deviation of 38%. The T-bill rate is 6%. Suppose that your client prefers to invest in your fund a proportion y that maximizes the expected return on the complete portfolio subject to the constraint that the complete portfolio's standard deviation will not exceed 17% a. What is the investment proportion. Y? (Round your answer to 2 decimal places.) Investment proportion y b. What is the expected rate of return on the complete portfolio? (Do not round Intermediate calculations. Round your answer to 2 decimal places.) Rate of return

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