Problem $8-13$

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Security A offers an expected return of $17$ percent with a standard deviation of $6$ percent. Security B offers an expected return of $11$ percent with a standard deviation of $8$ percent. The correlation between the returns of A and $B$ is $+0\mathrm{.}6.$ If an investor puts one$-$fourth of his wealth in A and three$-$fourths in $B,$ what is the expected return and risk $($standard deviation$)$ of this portfolio? Round your answers to two decimal places.

Expected return of portfolio: $\%$

Standard deviation of portfolio: $\%$

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