Question
Consider the following information: Portfolio Expected Return Standard Deviation Risk-free 5.0 % 0 % Market 13.0 35 A 11.0 24 a. Calculate the Sharpe ratios
Consider the following information: Portfolio Expected Return Standard Deviation Risk-free 5.0 % 0 % Market 13.0 35 A 11.0 24 a. Calculate the Sharpe ratios for the market portfolio and portfolio A. (Round your answers to 2 decimal places.) Sharpe Ratio Market portfolio Portfolio A b. If the simple CAPM is valid, is the above situation possible?
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Financial Markets And Institutions
Authors: Jeff Madura
8th Edition
0324568215, 978-0324568219
