UNISA recently revised the investment policy statement (IPS) for its retirement plan portfolio. The return objective for equities is to earn 2.95 percent above the return on a broad market index, relative to the benchmark. The tracking error should not exceed 1.5 percent. Matombo Mabwe identifies an enhanced index manager that she expects would satisfy the IPS objectives for both return and risk. Mabwe believes it is possible to improve the portfolio's riskadjusted return by also adding active equity managers. He recommends a core-satellite portfolio strategy for the equity portion of the plan's portfolio as shown below. Mabwe determines that the active returns of the selected managers are not correlated. Recommended Core-satellite Portfolio *Returns are net of trading expenses and gross of fees. (i) Calculate the information ratio of the core-satellite portfolio. Show your calculations.| (3) (ii) Determine whether Mabwe's recommended core-satellite portfolio is appropriate for UNISA. Justify your response with two reasons specific to UNISA. (4)