QUESTION $24$

A pension fund manager is considering three mutual funds. The first is a stock fund, the second is a long$-$term government and corporate bond fund, and the third is a T$-$bill money market fund that yields a sure rate of $5\mathrm{.}5\%.$ The correlation between the stock and bond fund returns is $0\mathrm{.}15.$ The probability distributions of the risky funds are:

$\backslash$table$[[,$Expected Return,Standard Deviation$],[$Stock Fund $($S$),15\%,32\%$