An Investor Wants to Invest $50,000 in Two Mutual Funds

Essay

An investor wants to invest $50,000 in two mutual funds, A and B. The rates of return, risks and minimum investment requirements for each fund are:
Note that a low Risk rating means a less risky investment. The investor wants to maximize the expected rate of return while minimizing his risk. Any money beyond the minimum investment requirements can be invested in either fund. The investor has found that the maximum possible expected rate of return is 11.4% and the minimum possible risk is 0.32.
Formulate a goal programming model with a MINIMAX objective function.