Given that the risk-free rate is 5%, the expected return on the m

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Given that the risk-free rate is 5%, the expected return on the market portfolio is 20%, a

Given that the risk-free rate is 5%, the expected return on the market portfolio is 20%, and the standard deviation of returns to the market portfolio is 20%, answer the following questions:
You have $100,000 to invest. How should you allocate your wealth between the risk free asset and the market portfolio in order to have a 15% expected return?
What is the standard deviation of your portfolio in (a)?

* could you explain where the answers came from so i can better understand the material

Rosa Parks 08-Nov-2017

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Given that the risk-free rate is 5%, the expected return on the market portfolio is 20%, a

Given that the risk-free rate is 5%, the expected return on the market portfolio is 20%, a

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