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Question: Assume that you manage a risky portfolio with an expected rate of return of 17% and a standard deviation of 36%. The T-bill rate is 6%.

Your client chooses to invest 75% of a portfolio in your fund and 25% in a T-bill money market fund. What is the expected value and standard deviation of the rate of return on his portfolio?

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Basic Finance, Finance

Category:- Basic Finance
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