2. (10 points) You have just decided upon your capital allocation for the coming year when you realize that you were too optimistic about the risky capital market asset's risk: while your estimate of its expected return is sound, you have under-estimated its risk (standard deviation). Will you adjust your capital allocation decision by increasing, decreasing, or leaving unchanged your allocation to risk-free T-bills? Please draw the Capital Allocation Line (CAL) to answer this question. 2. (10 points) You have just decided upon your capital allocation for the coming year when you realize that you were too optimistic about the risky capital market asset's risk: while your estimate of its expected return is sound, you have under-estimated its risk (standard deviation). Will you adjust your capital allocation decision by increasing, decreasing, or leaving unchanged your allocation to risk-free T-bills? Please draw the Capital Allocation Line (CAL) to answer this