Bronc Gerson is 60 years of age and is considering retirement. Bronc got his name from the

Question:

Bronc Gerson is 60 years of age and is considering retirement. Bronc got his name from the fact that as a young man he spent several years in the rodeo circuit competing as a bareback rider. His retirement currently is valued at $950,000 and is allocated in Treasury bills, an S&P 500 Index fund, and an emerging-market fund as follows:
______________________________Expected Return _________$ Value
Treasury bills ................................... 2.5% ................... 275,000
S&P 500 Index fund .......................... 8.5% ................... 450,000
Emerging-market fund ........................12.5% ................... 225,000
a. Based on the current composition and the expected rates of return, what is the expected rate of return for Bronc's Bronc is considering a reallocation of his investments to include more Treasury bills and less exposure to emerging markets. If Bronc moves all of his money from the emerging-market fund and puts it in Treasury bills, what will be the expected rate of return on the resulting Portfolio
A portfolio is a grouping of financial assets such as stocks, bonds, commodities, currencies and cash equivalents, as well as their fund counterparts, including mutual, exchange-traded and closed funds. A portfolio can also consist of non-publicly...