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Your complete portfolio is 40% invested in a risky asset and 60% invested in a Treasury bill (the risk-free asset). The risky asset has an
Your complete portfolio is 40% invested in a risky asset and 60% invested in a Treasury bill (the risk-free asset). The risky asset has an expected rate of return of 20% and a standard deviation of 15% and the Treasury bill has a rate of return of 6%. The Sharpe ratio of your complete portfolio is approximately _________.
0.34 | ||
0.50 | ||
0.93 | ||
1.05 |
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