The third is a T-bill money market fund that yields a sure rate of 5.6%. The probability distributions of the risky funds are:

Apension fund manager is considering three mutual funds. The rst is a stock fund, the second is a long-term government and corporate bond fund, and the third is a T-bill money market fund that yields a sure rate of 5.6%, The probability distributions of the risky funds are: Expected Return Standard Deviation Stock fund (8) 17 % 46 % Bond fund (B) 8 % 40 " The correlation between the fund returns is .0600, Suppose now that your portfolio must yield an expected remrn of 15% and be efficient, that is, on the best feasible CAL. a. What is the standard deviation of your portfolio? (Do not round intermediate calculations. Round your answer to 2 decimal places.) andard deviation % b-1. What is the proportion invested in the T-bill fund? (Do not round lntermedlate calculations. Round your answer to 2 decimal places.) Proportion invested in the T-bill fund % b-Z. What is the proportion invested in each of the two risky funds? (Do not round intermediate calculations. Round your answers to 2 decimal places.) Pmponlon Invested Stocks "In Bonds "/0