You have been given the following return information for a mutual fund, the market index, and the risk-free rate. You also know that the return correlation between the fund and the market is 0.97. Year 2011 Pund Market Risk-Free -21.8 -41.58 38 2012 25.1 21.2 14.5 4 14.1 6.4 2013 2 2014 8.8 4 2015 -2.22 -5.2 3 What are the Sharpe and Treynor ratios for the fund? (Do not round intermediate calculations. Round your answers to 4 decimal places.) Sharpe ratio Treynor ratio
You have been given the following return information for a mutual fund, the market index, and the risk-free rate. You also know that the return correlation between the fund and the market is 0.97. Year 2011 Pund Market Risk-Free -21.8 -41.58 38 2012 25.1 21.2 14.5 4 14.1 6.4 2013 2 2014 8.8 4 2015 -2.22 -5.2 3 What are the Sharpe and Treynor ratios for the fund? (Do not round intermediate calculations. Round your answers to 4 decimal places.) Sharpe ratio Treynor ratio
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Question
![You have been given the following return information for a mutual fund, the market index, and the risk-free rate. You also know that the
return correlation between the fund and the market is 0.97.
Fund
Market
Risk-Free
Year
2011
-21.84
-41.58
38
2012
2013
2014
25.1
21.2
4
14.1
14.5
2
6.4
8.8
-5.2
4
2015
-2.22
3
What are the Sharpe and Treynor ratios for the fund? (Do not round intermediate calculations. Round your answers to 4 decimal
places.)
Sharpe ratio
Treynor ratio](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fa522a65e-7cf8-4fb5-8a79-94058522065a%2Fa475632e-fda3-4726-ad02-caba07eb92a6%2Fxu68o6w_processed.png&w=3840&q=75)
Transcribed Image Text:You have been given the following return information for a mutual fund, the market index, and the risk-free rate. You also know that the
return correlation between the fund and the market is 0.97.
Fund
Market
Risk-Free
Year
2011
-21.84
-41.58
38
2012
2013
2014
25.1
21.2
4
14.1
14.5
2
6.4
8.8
-5.2
4
2015
-2.22
3
What are the Sharpe and Treynor ratios for the fund? (Do not round intermediate calculations. Round your answers to 4 decimal
places.)
Sharpe ratio
Treynor ratio
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