(Answered) You need to invest 10m in two assets a risk-free asset with

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You need to invest $10M in two assets: a risk-free asset with an ex-pected return of 5% and a risky asset with an expected return of 12% and a standard deviation of 40%. You face a cap of 30% on the port-folio's standard deviation (the "risk budget"). What is the maximum expected return you can achieve on your portfolio?

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