Question (6) Based on the following Net Asset Value of portfolio (AB,CD,EF) and market index (KLCI), rank the stocks according to (1) Treynor Ratio (ii) Alpha (iii) Diversification benefit. Risk free rate equals 3.00% (Note: Use Excel Data Analysis for Beta and regression). Year KLCI 1 2 3 4 5 6 7 AB (RM) 1.00 1.20 1.40 1.30 1.00 1.20 0.90 0.80 1.20 1.20 1.30 1.40 CD (RM) 3.50 4.20 4.50 3.90 4.20 4.10 4.80 4.20 4.50 4.60 4.20 4.80 EF (RM) 2.00 2.60 2.40 2.30 2.20 2.50 2.60 2.40 2.70 2.80 2.30 2.80 1450 1640 1620 1740 1620 1680 1680 1740 1680 1720 1700 1980 8 9 10 11 12 (5 x 3 = 15 marks)