We have only two risky assets in the market with the following risk and return: Expected Return Standard Deviation Stocks 20% 25% Bonds 15% 15% The correlation between the two risky assets is: 0.5 and the risk free in the market is 8%. 1. Find the weight of Stocks and Bonds in the optimal portfolio Calculate the return and standard deviation of the optimal portfolio. 2. Calculate the standard deviation of portfolio (P) with an expected return of 15% on the CAL 3. Find the weight of Stocks, Bonds and risk free on portfolio P