A pension fund manager is considering three mutual funds. The first is a stock fund, the...

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Finance

A pension fund manager is considering three mutual funds. Thefirst is a stock fund, the second is a long-term government andcorporate bond fund, and the third is a T-bill money market fundthat yields a sure rate of 1.0%. The probability distributions ofthe risky funds are:
Expected Return Standard Deviation
Stock fund (S) 10% 29%
Bond fund (B) 9% 16%
The correlation between the fund returns is 0.46.
What is the expected return and standard deviation for theminimum-variance portfolio of the two risky funds? (Do notround intermediate calculations. Round your answers to 2 decimalplaces.)
Expected return %
Standard deviation %

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A pension fund manager is considering three mutual funds. Thefirst is a stock fund, the second is a long-term government andcorporate bond fund, and the third is a T-bill money market fundthat yields a sure rate of 1.0%. The probability distributions ofthe risky funds are:Expected ReturnStandard DeviationStock fund (S)10%29%Bond fund (B)9%16%The correlation between the fund returns is 0.46.What is the expected return and standard deviation for theminimum-variance portfolio of the two risky funds? (Do notround intermediate calculations. Round your answers to 2 decimalplaces.)Expected return%Standard deviation%

	Expected Return	Standard Deviation
Stock fund (S)	10%	29%
Bond fund (B)	9%	16%