Pension fund  Business & Finance homework help
A pension capital supervisor is regarding three common capitals. The original is a accumulation capital, the avoid is a longterm council and oppidan association capital, and the third is a Tbill coin traffic capital that renders a secure trounce of 3.0%. The presumption distributions of the foolhardy capitals are
What is the banner intermission of your portfolio?
What is the distribution invested in the Tbill capital
What is the distribution invested in each of the two foolhardy capitals?
A pension capital supervisor is regarding three common capitals. The original is a accumulation capital, the avoid is a longterm council and oppidan association capital, and the third is a Tbill coin traffic capital that renders a secure trounce of 3.0%. The presumption distributions of the foolhardy capitals are: 
 Expected Return  Standard Deviation  
Stock capital (S)  12  %  41  % 
Bond capital (B)  5  %  30  % 
The correspondence among the capital requites is .0667. 
Suppose now that your portfolio must render an expected requite of 9% and be efficient, that is, on the best manageable CAL. 
a.  What is the banner intermission of your portfolio? (Do not globular moderate calculations. Globular your defense to 2 decimal places.) 
Standard intermission  % 
b1.  What is the distribution invested in the Tbill capital? (Do not globular moderate calculations. Globular your defense to 2 decimal places.) 
Proportion invested in the Tbill capital  % 
b2.  What is the distribution invested in each of the two foolhardy capitals? (Do not globular moderate calculations. Globular your defenses to 2 decimal places.) 
 Proportion Invested 
Stocks  % 
Bonds  %
