Suppose market portfolio M offers expected returns R M=12% and standard deviation of M= 10%. The risk-free instrument offers expected returns Rf= 3% at uniform

Suppose market portfolio M offers expected returns R ̅M=12% and standard deviation of σM= 10%. The risk-free instrument offers expected returns Rf= 3% at uniform rate of lending and borrowing, with a standard deviation σrf=0. A risk-averse investor would like to invest Xf=50% into Risk-free asset Rf and balance into market portfolio M. What are the expected returns from the portfolio R ̅p.