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You manage an equity fund with an expected risk premium of 1 0 % and a standard deviation Of 1 4 % . The rate

You manage an equity fund with an expected risk premium of 10% and a standard deviation Of 14%. The rate on Treasury bills is 6%. Your client chooses to invest $60,000 of her portfolio in your equity fund and $40000 in a T-bill money market fund. What are the expected return and standard deviation of your clients portfolio?

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