you manage a risky portfolio p with expected return of 18% and standard deviation of 28% the t-bill rate is 8% suppose your risky portfolio includes the following investments in the given proportions

stock a. 25% stock b 32% stock c. 43% a. suppose your client prefers to choose to have 18% standard deviation of the complete portfolio. what is the proportion y and what is the expected return of your client portfolio?

b. assume your clients utility function is u=e(r)-.5 * Ao^2 and your clients risk aversion is A=3.5 what proportion y should be invested into your risky portfolio p to maximize its utility and what would be the expected return and standard deviation on the optimized portfolio?