Question
The following data are available relating to the performance of Monarch Stock Fund and the market portfolio: Monarch Market Portfolio Average return 16 % 12
The following data are available relating to the performance of Monarch Stock Fund and the market portfolio:
| Monarch | Market Portfolio | ||||||||||
| Average return | 16 | % | 12 | % | |||||||
| Standard deviations of returns | 26 | % | 22 | % | |||||||
| Beta | 1.15 | 1.00 | |||||||||
| Residual standard deviation | 1 | % | 0 | % | |||||||
The risk-free return during the sample period was 4%. What is the information ratio measure of performance evaluation for Monarch Stock Fund?
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Focus On Personal Finance An Active Approach To Help You Develop Successful Financial Skills
Authors: Jack Kapoor, Les Dlabay, Robert Hughes
4th Edition
0078034787, 978-0078034787
