Question
Consider the following historic information on the market, the risk-free rate (T-Bills) the two mutual funds, Templeton and Fidelity. Templeton Fidelity Market T-Bills Average Return
Consider the following historic information on the market, the risk-free rate (T-Bills) the two mutual funds, Templeton and Fidelity.
Templeton Fidelity Market T-Bills
Average Return 12.06% 5.67% 10.53% 1.10%
A. The Treynor Index for the Templeton fund is ?
The Treynor Index for the Fidelity Fund is ?
B. The Templeton Fund underperformed its predicted return from the CAPM by ___ % ?
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Dark Finance
Authors: Fabio Mattioli
1st Edition
1503611655, 978-1503611658
