ou invest $100 in a risky asset with an expected rate of return of 0.11...
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Finance
ou invest $100 in a risky asset with an expected rate of return of 0.11 and a standard deviation of 0.21 and a T-bill with a rate of return of 0.045. What percentages of your money must be invested in the risk-free asset and the risky asset, respectively, to form a portfolio with a standard deviation of 0.08?
Multiple Choice
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30.1% and 69.9%
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Cannot be determined.
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61.9% and 38.1%
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60.0% and 40.0%
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50.5% and 49.50%
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