(Treynor ratio) The risk-free rate is 1%. You observe two fund managers (X and Y) and the...

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(Treynor ratio) The risk-free rate is 1%. You observe two fund managers (X and Y) and the market portfolio.

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a. Calculate the beta of each stock and the market portfolio

b. Calculate the Treynor ratio for each stock and the market portfolio.

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Principles Of Finance Wtih Excel

ISBN: 9780190296384

3rd Edition

Authors: Simon Benninga, Tal Mofkadi

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Question Posted: Jun 10, 2024 02:01 AM

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(Treynor ratio) The risk-free rate is 1%. You observe two fund managers (X and Y) and the...

Question:

1 A B C D TREYNOR RATIO 1% 2 Risk-free return 3 Mutual fund Market X Y portfolio 4 Mean return 7% 15% 10% 5 Standard deviation 25% 45% 18% 6 Correlation coefficient with the market (Pim) 0.36 0.5 1 7 Beta 8 Treynor ratio

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Principles Of Finance Wtih Excel

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