Section Break $(8-11)$

$[$The following information apples to the questions displayed below.$]$

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

$\backslash$table$[[,$Expected Deturn,Standard Deviation$],[$Stock fund $($S$),154,364],[$Bond fund $(B),94,274]]$

The correlation between the fund returns is $0\mathrm{.}15.$

Problem $6-11($Algo$)$

Suppose now that your portfolio must yield an expected return of $12\%$ and be efficient, that is$,$ on the best feasible CAL.

Required:

a$.$ What is the standard deviation of your portfolio?

Note: Do not round intermediate calculations. Round your answer to $2$ decimal places.

Answer is complete but not entirely cerrect.

$\backslash$table$[[\backslash$table$[[$Standard$],[$deviation$]],24\mathrm{.}070,\%$

Required information

Section Break $(8-11)$

$[$The following information applies to the questions displayed below.$]$

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 probability distributions of the risky funds are:

$\backslash$table$[[,$Expected Return,Standard Deviation$],[$Stock fund $(S),15\%,36\%$

Required information

Section Break $(8-11)$

$[$The following information applies to the questions displayed below.$]$

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 probability distributions of the risky funds are:

$\backslash$table$[[,$Expected Return,Standard Deviation$],[$Stock fund $(S),15\%,36\%$