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You manage a risky portfolio with an expected rate of return of 18% and a standard deviation of 25%. The T-bill rate is 8%. Your
You manage a risky portfolio with an expected rate of return of 18% and a standard deviation of 25%. The T-bill rate is 8%. Your client has a degree of risk aversion = 4. What proportion () of the total investment should be invested in the risky fund? What are the expected return (( ) ) and standard deviation ( ) of the optimised complete portfolio
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