Question: Risk asset 1 Risk asset 2 Expected return .12 .16 Standard deviation .27 .89 If you wished to construct an optimal risky portfolio with these

	Risk asset 1	Risk asset 2
Expected return	.12	.16
Standard deviation	.27	.89

If you wished to construct an optimal risky portfolio with these two assets, what is the percentage this portfolio would consist of for risk asset 1? And risk asset 2?

3.8% risk free rate and .009 coeficent correlation

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