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- Calculate the returns as per sharpe's, treynor and jensen performance measures and comment on the best investmentĐ The risk free rate is 3%. Calculate and rank the following funds using Jensen's Alpha, Treynor measure, Sharpe ratio and M Fund 4 5.82% Market Index 7.60% Fund 1 Fund 2 Fund 3 Return 6.45% 8.96% 9.44% 0.88 1.02 1.38 0.80 1% Beta Std. dev. 2.74% 4.54% 3.72% 2.64% 2.80%The average return, standard deviation, and beta for Fund A is given below along with data for the S&P 500 Index. Fund Average Return Standard Deviation Beta A 14% 24% 1.21 S&P 500 17.4% 19.4% 1 Risk-free 5.1% Calculate the Treynor measure of performance for the S&P 500. Convert percentages to decimal places before calculating your answer. ENTER your answer using FOUR DECIMAL places.Example: 1.2345
- From the following mutual fund quotation, complete the blanks: (Negative amounts should be indicated by a minus sign. Round the "NAV" and the "NAV change" to the nearest cent and the "Total return" to the nearest hundredth percent.) TOTAL RETURN Inv. obj. NAV NAV chg. YTD 4 wks. 1 yr. EuGr ITL 10.89 -0.03 +8.1 +0.82 +9.4 NAV NAV change Total return, 1 year % M acerThe average return, standard deviation, and beta for Fund A is given below along with data for the S&P 500 Index. Fund Average Return Standard Deviation Beta A 25.7% 29% 1.3 S&P 500 17.9% 20% 1 Risk-free 3.8% Calculate the M2 measure of performance for Fund A. Use the correct sign if the answer is negative! Example: -1.23Activity 3 You are given the following information on three funds. The risk free rate is 6%. Calculate the differential return measure. Interpret your findings. Fund CH- G I Actual Return 15 25 30 Market Return 20 20 20 Sigma² 16 25 36
- a. Using the data in the table below and calculate the following performance measuresReview the table below listing performance metrics for selected assets. The metrics are defined in the same way as in CAPM. Compute the CAPM alpha for the four assets (data attached as image).Quiz Instructions Question 1 1 pts A pension fund manager is considering three assets. The first is a stock fund, the second is a long-term government and corporate bond fund, and the third is a T-bill yielding 0.06. Info of the risky funds is as follows: Expected ret. std. dev. Stock fund 0.22 0.27 Bond fund 0.12 0.14 The correlation between the fund returns is 0.5. What is the expected return of the optimal risky portfolio? Round your answer to 4 decimal places. For example if your answer is 3.205%, then please write down 0.0321.
- __________ fund is defined as one in which the fund charges a sales commission to either buy into or exit from the fund. Group of answer choices A no-load A specialized sector A load An indexUnit trust Average return Standard deviation Beta Fund Alpha 10% 0.05 0.4 Fund Beta 12% 0.15 1.0 Fund Sigma 15% 0.10 1.2 Calculate the Jensen measure of Fund Alpha. A. 1.40% B. 1.60% OC. 0.20% OD. 1.00% Reset SelectionCalculate the sales charge (in $) and sales charge percent for the mutual fund. (Round percents to one decimal place.) Fund OfferPrice Net AssetValue SalesCharge SalesCharge % Northstar A: MuFl A $13.45 $12.81 $ %