Question 3 (12.5 points) Risk Aversion Using the information in the table below and the scale discussed in the text, Andy Jensen's risk aversion (RA) is 5. (A) Showing your work, recommend an asset allocation for him and (B) Explain why this is the most appropriate. Investor's Forecasts Asset Allocation Expected Return Standard Deviation of Return A 10.8 17.5 B 8.5 14 6.2 9 Question 3 (12.5 points) Risk Aversion Using the information in the table below and the scale discussed in the text, Andy Jensen's risk aversion (RA) is 5. (A) Showing your work, recommend an asset allocation for him and (B) Explain why this is the most appropriate. Investor's Forecasts Asset Allocation Expected Return Standard Deviation of Return A 10.8 17.5 B 8.5 14 6.2 9