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You are to compare two mutual funds' performance: Mutual Fund A has 15% return and 11% standard deviation, and 1.2 beta value; whereas Mutual Fund

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You are to compare two mutual funds' performance: Mutual Fund A has 15% return and 11% standard deviation, and 1.2 beta value; whereas Mutual Fund B has a rate of return of 9%, a standard deviation of 12%, and a beta of 0.45. The risk-free rate is 5\%. (You must show your work to earn credit.) (1) Compute each mutual fund's Sharpe Measure (or Sharpe Ratio) and compare the calculated result and then select the fund that has a better performance. (2) Compute and compare the two funds' performance using Treynor's Measure, and select the best performing fund

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