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Suppose that we construct a portfolio using the following two risky assets. What is the expected return of the portfolio? Bond Stock Weights 30% 70%
Suppose that we construct a portfolio using the following two risky assets. What is the expected return of the portfolio?
Bond Stock
Weights 30% 70%
Expected return () 10% 15%
Standard deviation () 16% 24%
Risk-free rate (RF) 4%
11.5%
12.5%
13.5%
15%
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