1. Using the 2010 - 2019 Total Returns calculated from Step 1.a for the Market, Coca Cola and Pepsi, construct a portfolio consisting of the following: 30% Market (S\&P 500 index), 50\% Coca Cola, and 20% Pepsi for the period of 20102019 2. From this portfolio, calculate the Sharpe Ratio 3. From this portfolio, calculate the Treynor Ratio 4. From this portfolio, calculate the Jensen's Alpha Step 6: 1. From the calculated Share Ratio, Treynor Ratio, and Jensen's Alpha for the portfolio in Step 4 and Step 5, which portfolio provides the best return relative to risk? (e.g. which portfolio would you select because it provides the best return relative to risk?) \begin{tabular}{|c|c|c|} \hline 2 & Year & Risk Free Rate \\ \hline 3 & 2010 & 3.22% \\ \hline 4 & 2011 & 2.78% \\ \hline 5 & 2012 & 1.80% \\ \hline 6 & 2013 & 2.35% \\ \hline 7 & 2014 & 2.54% \\ \hline 8 & 2015 & 2.14% \\ \hline 9 & 2016 & 1.84% \\ \hline 10 & 2017 & 2.33% \\ \hline 11 & 2018 & 2.91% \\ \hline 12 & 2019 & 2.14% \\ \hline \end{tabular} 13 \begin{tabular}{|c|c|c|c|c|c|c|c|c|c|c|} \hline \multirow{2}{*}{ Date } & \multirow{2}{*}{\multicolumn{2}{|c|}{\begin{tabular}{c} Market (S\&P 500) \\ Close \end{tabular}}} & \multicolumn{4}{|c|}{ Coca Cola } & \multicolumn{4}{|c|}{ Pepsi } \\ \hline & & & & ose & Div & idend & Adj & j Close & Div & idend \\ \hline 12/31/09 & $ & 1,115.10 & $ & 18.95 & $ & 1.64 & $ & 43.96 & $ & 1.78 \\ \hline 12/31/10 & $ & 1,257.64 & $ & 23.27 & $ & 1.76 & $ & 49.02 & $ & 2.37 \\ \hline 12/30/11 & $ & 1,257.60 & $ & 26.21 & $ & 1.88 & $ & 51.36 & $ & 2.03 \\ \hline 12/31/12 & $ & 1,426.19 & $ & 28.33 & $ & 1.53 & $ & 54.64 & $ & 2.13 \\ \hline 12/31/13 & $ & 1,848.36 & $ & 33.21 & $ & 1.12 & $ & 68.11 & $ & 2.24 \\ \hline 12/31/14 & $ & 2,058.90 & $ & 34.96 & $ & 1.22 & $ & 79.87 & $ & 2.53 \\ \hline 12/31/15 & $ & 2,043.94 & $ & 36.75 & $ & 1.32 & $ & 86.86 & $ & 2.76 \\ \hline 12/30/16 & $ & 2,238.83 & $ & 36.62 & $ & 1.40 & $ & 93.63 & $ & 2.96 \\ \hline 12/29/17 & $ & 2,673.61 & $ & 41.89 & $ & 1.48 & $1 & 110.31 & $ & 3.17 \\ \hline 12/31/18 & $ & 2,506.85 & $ & 44.73 & $ & 1.56 & $ & 105.00 & $ & 3.59 \\ \hline 12/30/19 & $ & 3,221.29 & $ & 53.86 & $ & 1.60 & $1 & 133.88 & $ & 3.79 \\ \hline \end{tabular}