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Stock fund (S) Bond fund (B) Expected Return 15 99 Standard Deviation 32% 23% The correlation between the fund returns is 0.15. a. What would

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Stock fund (S) Bond fund (B) Expected Return 15 99 Standard Deviation 32% 23% The correlation between the fund returns is 0.15. a. What would be the investment proportions of your portfolio if you were limited to only the stock and bond funds and the portfolio has to yield an expected return of 12%? Investment Proportions Stocks Bonds % % b. Calculate the standard deviation of the portfolio which yields an expected return of 12%. (Do not round intermediate calculations. Round your answer to 2 decimal places.) % Standard deviation 20 20 Next

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