# Question: two portfolios p1 and p2 produce the following returns in...

###### Question details

Two portfolios, P1 and P2, produce the following returns in years 1-5:

Year | P1 Return (%) | P2 Return (%) |

1 | 8 | -10 |

2 | 3 | -4 |

3 | -6 | 4 |

4 | 7 | -6 |

5 | 7 | 5 |

What is the mean annual return on a portfolio that is 70% invested in P1 and 30% invested in P2?

Enter answer accurate to 2 decimal places