You want to invest in two shares, X and Y. The following data are available for the two shares:
Share X
Expected Return: 9%
Standard Deviation :14%
Beta: 1.10
Share Y
Expected Return: 7%
Standard Deviation: 12%
Beta : 0.85
If you invest 70 percent of your funds in Share X, the remainder in Share Y and if the correlation of returns between X and Y is +0.7, compute the expected return and the standard deviation of returns from the portfolio.