1. (6 points) You invest 50% in a risky portfolio, and 50% in a treasury bill.The risky...

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1. (6 points) You invest 50% in a risky portfolio, and 50% in a treasury bill.The risky portfolio has an expected return of 15% and a standard deviation of 25%. The treasury bill pays 7%. Suppose that your risky portfolio includes the following investments in the given proportions:

Stock A 30%

Stock B 30%

Stock C 30%

Stock D 10%

(3 points) What are the investment proportions in the complete portfolio, including stock A, B, C, D and the Treasury bill?

(3 points) What is the expected return and standard deviation of your complete portfolio?

Posted Date: May 18, 2024 05:00 AM

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1. (6 points) You invest 50% in a risky portfolio, and 50% in a treasury bill.The risky...

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