You are provided with information regarding the Benchmark portfolio and the Regenesys managed portfolio as follows:

Benchmark

Weightings are 40%; 30% and 30% for equity; bonds and cash respectively.

Returns are 11%; 9% and 4% for equity; bonds and cash respectively.

Regenesys managed portfolio

Weightings are 60%; 30% and 10% for equity; bonds and cash respectively.

Returns are 15%; 10% and 6% for equity; bonds and cash respectively.

1. Calculate the managed portfolio excess return to the benchmark portfolio. 2. Calculate the performance due to asset allocation. 3. Calculate the performance due to Security selection. 4, Calculate the total contribution of the managers performance.

5. Calculate the total contribution of the managers performance.

PART TWO .

Information regarding Ubuntu Fund.

The Ubuntu fund is a recently formed and managed fund that has a beta of 1.2 and the residual standard deviation of 1%. The market index average return is 18% with the standard deviation and residual standard deviation of 21% and 0% respectively. The market risk premium is 0.12. The average market returns are 75% of the Ubuntu fund average returns and the standard deviation of the Ubuntu fund is 5% in excess of that of the market.

Given the information you are required to answer questions that follow:

A. Calculate Jensens alpha for Ubuntu fund. B. Calculate the M-square measure for Ubuntu fund. c. Calculate Sharpes measure of performance for Ubuntu fund.

D. Calculate the Treynor ratio for Ubuntu fund. E.