How much money should you put into t-bills

Reference no: EM133494759

Problem: You have $5,000 to invest and are deciding between investing in an equity mutual fund and Treasury bills. The fund has an expected return of 9% and a standard deviation of returns of 23%. T- bills have a return of 2%.Since you're risk-averse, you are only willing to tolerate a standard deviation of 10% on the complete portfolio. How much money should you put into T-bills (in S)?

Reference no: EM133494759

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