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You invest $100 in a risky asset with an expected rate of return of 0.11 and a standard deviation of 0.21 and a T-bill with
You invest $100 in a risky asset with an expected rate of return of 0.11 and a standard deviation of 0.21 and a T-bill with a rate of return of 0.045 . A portfolio that has an expected outcome of $114 is formed by Such a portfolio cannot be formed. investing $80 in the risky asset and $20 in the risk-free asset. investing $43 in the risky asset and $57 in the risk-free asset. borrowing $46 at the risk-free rate and investing the total amount ($146) in the risky asset. investing $100 in the risky asset
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