What is the reward-to-volatility ratio for equity fund

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1. You manage an equity fund with an expected risk premium of 11% and a standard deviation of 24%. The rate on Treasury bills is 6.2%. Your client chooses to invest $80,000 of her portfolio in your equity fund and $20,000 in a T-bill money market fund. What is the reward-to-volatility ratio for the equity fund? (Round your answer to 4 decimal places.)

2. Suppose the interest rate is 9.9 % APR with monthly compounding. What is the present value of an annuity that pays $ 115 every three months for five ?years? ?(Note: Be careful not to round any intermediate steps less than six decimal? places.)

Reference no: EM131993630

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