What is the expected value of the portfolio i three years

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Reference no: EM132061357

You are the chief investment officer of a $100,000,000 pension fund. I your analysis of the pension fund you believe that there is a 80% chance that the fund earns an average annual return of +6 over the next 3 years and 20% chance that the fund earn an average return of negative _2.0% over the next 3 years. What is the expected value of the portfolio I three years?

Reference no: EM132061357

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