Question 30

A portfolio is construct of 60% in the market portfolio and 40% in the risk-free asset. If the return on the Market portfolio is 10%, the return on the risk-free asset is 3%, and the standard deviation of the market portfolio's returns is 20%. What are the return and standard deviation of returns of the portfolio? Return 6.5%,10% Return 7.2%,12% Return 5.8%,8% None of the answers listed here