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You manage a risky portfolio P that has the following characteristics: expected return = 16% and the standard deviation of the return of your portfolio

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You manage a risky portfolio P that has the following characteristics: expected return = 16% and the standard deviation of the return of your portfolio = 20%. The risk-free rate is at 4%. Your client wants to invest a proportion of her total investment budget in your risky portfolio to maximize expected return and at the same time limit the volatility to no higher than 14% on her overall portfolio. Then the proportion she should invest in your risky portfolio is OA. 80% OB. 75% C. 78% OD.65% OE. 70%

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