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Consider the below table: Fund Average Return% p.a Standard Deviation % p.a. Beta Fund A 13 45 1.31 Fund B 10.7 19.2 1.1 Risk free
Consider the below table:
Fund | Average Return% p.a | Standard Deviation % p.a. | Beta |
Fund A | 13 | 45 | 1.31 |
Fund B | 10.7 | 19.2 | 1.1 |
Risk free rate (Rr) : 4.2%
Market Return (Rm) : 9.6%
Using the above information from the above table, calculate the below ratios for both funds.
(i) Sharpe ratio
(ii) Treynor measure
(iiii) Jensen's alpha
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