You want to build a two asset portfolio including SPDRs and? T-Bills that has an expected return of 10.72%.
A SPDR is a Standard and Poor's Depositary Receipt. A SPDR is an exchange traded fund (ETF) that is designed to generate the same return as the? S&P 500 index.
What is the portfolio weight on the? SPDRs? Assume that the return on the? T-Bills is 2.5% and the expected return on the? S&P 500 is 8.5%.