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Required: You manage an equity fund with an expected risk premium of 10.2% and a standard deviation of 16%. The rate on Treasury bills is
Required: You manage an equity fund with an expected risk premium of 10.2% and a standard deviation of 16%. The rate on Treasury bills is 4%. Your client chooses to invest $40,000 of her portfolio in your equity fund and $60,000 in a T-bill money market fund. What are the expected return and standard deviation of your client's portfolio? (Round your answers to 2 decimal places.)
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