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Your complete portfolio is 70% invested in a risky asset and 30% invested in a Treasury bill (the risk-free asset) . The risky asset has
Your complete portfolio is 70% invested in a risky asset and 30% invested in a Treasury bill (the risk-free asset) . The risky asset has an expected rate of return of 30% and a standard deviation of 25% and the Treasury bill has a rate of return of 5%. The Sharpe ratio of your complete portfolio is approximately _________.
0.84 | ||
1.5 | ||
1 | ||
0.93 |
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