The following data apply to Problems 8-12. 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 5.5%. The probability distributions of the risky funds are: 12. a. If you were to use only the two risky funds and still require an expected return of 12%, what would be the investment proportions of your portfolio? b. Compare its standard deviation to that of the optimal portfolio in the previous prob. lem. What do you conclude? (LO 6-4) The following data apply to Problems 8-12. 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 5.5%. The probability distributions of the risky funds are: 12. a. If you were to use only the two risky funds and still require an expected return of 12%, what would be the investment proportions of your portfolio? b. Compare its standard deviation to that of the optimal portfolio in the previous prob. lem. What do you conclude? (LO 6-4)