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%. Calculate Sharpe's measure of performance for Monarch Stock Fund.

Multiple Choice

• 0.44

• None of the options are correct.

• 0.01

• 0.46

• 0.55

The following data are available relating to the performance of Monarch Stock Fund and the market portfolio: Market Monarch Portfolio 16% 12% 26% 22% Average return Standard deviations of returns Beta Residual standard deviation 1.15 1% 1.00 0% The risk-free return during the sample period was 4%. Calculate Sharpe's measure of performance for Monarch Stock Fund. Multiple Choice 0.44 None of the options are correct. 0.01 0.46 o 0.55