Assume that you manage a risky portfolio with an expected rate of return of 12% and...

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Finance

Assume that you manage a risky portfolio with an expected rateof return of 12% and a standard deviation of 28%. The T-bill rateis 4%. Your client chooses to invest 80% of a portfolio in yourfund and 20% in a T-bill money market fund.

a. What is the expected return and standarddeviation of your client's portfolio? (Round your answersto 2 decimal places.)
b. Suppose your risky portfolio includes thefollowing investments in the given proportions:
Stock A 20 %
Stock B 30
Stock C 50
What are the investment proportions of your client’s overallportfolio, including the position in T-bills? (Round youranswers to 1 decimal places.)
c. What is the reward-to-volatility ratio(S) of your risky portfolio and your client's overallportfolio? (Round your answers to 4 decimalplaces.)

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Assume that you manage a risky portfolio with an expected rateof return of 12% and a standard deviation of 28%. The T-bill rateis 4%. Your client chooses to invest 80% of a portfolio in yourfund and 20% in a T-bill money market fund.a. What is the expected return and standarddeviation of your client's portfolio? (Round your answersto 2 decimal places.)b. Suppose your risky portfolio includes thefollowing investments in the given proportions:Stock A20%Stock B30Stock C50What are the investment proportions of your client’s overallportfolio, including the position in T-bills? (Round youranswers to 1 decimal places.)c. What is the reward-to-volatility ratio(S) of your risky portfolio and your client's overallportfolio? (Round your answers to 4 decimalplaces.)