Use the beta from the CAPM regression analysis to calculate the Treynor ratio for OARMX. Compare this

Question:

Use the beta from the CAPM regression analysis to calculate the Treynor ratio for OARMX. Compare this Treynor ratio to those in the chapter found for FMAGX and the market index ˆSP500TR.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Mutual Funds And Exchange Traded Funds Building Blocks To Wealth

ISBN: 9780190207434

1st Edition

Authors: H. Kent Baker, Greg Filbeck, Halil Kiymaz

See More Books

Question Posted: Nov 28, 2023 05:42 AM

See More Questions

You work for a private wealth management firm that follows an "external investment" model, whereby it decides which outside managers it should recommend to clients. One mutual fund that is a...
In Integrative Case 10.1, we projected financial statements for Starbucks for Years +1 through +5. In this portion of the Starbucks Integrative Case, we use the projected financial statements from...
In Problem 10.16, we projected financial statements for Walmart Stores for Years +1 through +5. The data in Chapter 12 Exhibits 12.17-12.19 include the actual amounts for 2012 and the projected...
Calculate the pre-merger earnings per share for Admiral and Favorite and the pre-merger price-to-earnings (P/E) ratio for each company (based on the stated prices per share). Calculate the exchange...
Companies regularly obtain money through the issuance of bonds. The market value of bonds changes daily and on any given day is a function of many factors including economic variables, interest...
Determine the mean and standard deviation of the random variable X in each of the following binomial distributions: a. n = 4 and = 0.10 b. n = 4 and = 0.40 c. n = 5 and = 0.80 d. n = 3 and = 0.50
20-6. Qu distincin hay entre lead y prospecto calificado?
During the current year, Tina purchases a beachfront condominium for $600,000, paying $150,000 down and taking out a $450,000 mortgage, secured by the property. At the time of the purchase, the...
Maraby Corporation Balance Sheet December 31, Year 2 and Year 1 (dollars in thousands) Current assets: Cash and marketable securities Accounts receivable, net Inventory Prepaid expenses Total current...
Use a single factor CAPM regression analysis to calculate Jensens alpha and beta for OARMX.
Discuss the meaning and significance of Jensens alpha for OARMX and whether OARMXs management team added value.
Di\ ideiids received from a stock that is reported as a security available for sale in the long-term assets section of the balance sheet are reported as vs hich of the following? a. an increase to...
The adjusted trial balance section of Menlo Company's worksheet shows a $\$ 1,500$ debit balance in utility expense. At the end of the accounting period the accounting manager accrues an additional...
Identify each of the 10 amount columns of the worksheet and indicate to which column the adjusted balance of the following accounts would be extended: a. Accounts Receivable b. Accumulated...
Using the data from Table 3.3, show the effect on world output if each country moved toward specialization in the production of its comparative-disadvantage good. TABLE 3.3 Comparative Advantage as a...
The Professional Winner was RJ Andrews from Info We Trust, for the video Are Gazelles Endangered? (a) Watch this video. What data are this video conveying? (b) You can interact with the data and...
(a) Draw a simplified ray diagram showing the three principal rays for an object located outside the focal length of a converging lens. (b) Is the image real or virtual? (c) Is it upright or...
Receptors sensitive to changes in blood pressure are a. Interoceptors. b. Exteroceptors. c. Propnoceptors. d. Nociceptors.
If (x) 0 on the interval [a, b], the definite integral gives the exact area under the curve between x = a and x = b.
Consider the following situation. Year Cash Flow 0................................-$200 1.................................+400 2..................................-100 What is the rate of return?
An investor is considering two mutually exclusive projects. He can obtain a 6% before-tax rate of return on external investments, but he requires a minimum attractive rate of return of7% for these...
In January, 2003, an investor purchased a convertible debenture bond issued by the XLA Corporation. The bond cost $1000 and paid $60 per year interest in annual payments on December 31. Under the...
4. The risk-free rate of return is 3.78% and the market risk premium is 6.42%. What is the expected rate of return on a stock with a beta of 1.09?
Maddox Resources has credit sales of $ 1 8 0 , 0 0 0 yearly with credit terms of net 3 0 days, which is also the average collection period. Maddox does not offer a discount for early payment, so its...
Selk Steel Co., which began operations on January 4, 2017, had the following subsequent transactions and events in its long-term investments. 2017 Jan. 5 Selk purchased 50,000 shares (25% of total)...

Use the beta from the CAPM regression analysis to calculate the Treynor ratio for OARMX. Compare this

Question:

Step by Step Answer:

The Treynor Ratio is calculated as the ratio of the excess return of a portfolio or investment to it...View the full answer

Mutual Funds And Exchange Traded Funds Building Blocks To Wealth

Students also viewed these Business questions