You are given the following Information concerning three portfolios, the market portfollo, and the risk-free asset: Portfolio X Y Z Market Risk-free Rp 14.10% 13.10 8.50 12.00 7.20 op 39.00% 34.00 24.00 29.00 0 8p 1.50 1.15 0.90 1.00 0 Assume that the tracking error of Portfolio X is 8.90 percent. What is the Information ratio for Portfolio X? Note: A negative value should be Indicated by a minus sign. Do not round Intermediate calculations. Round your answer to decimal places.

You are given the following Information concerning three portfolios, the market portfollo, and the risk-free asset: Portfolio X Y Z Market Risk-free Rp 14.10% 13.10 8.50 12.00 7.20 op 39.00% 34.00 24.00 29.00 0 8p 1.50 1.15 0.90 1.00 0 Assume that the tracking error of Portfolio X is 8.90 percent. What is the Information ratio for Portfolio X? Note: A negative value should be Indicated by a minus sign. Do not round Intermediate calculations. Round your answer to decimal places.

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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An efficient portfolio is one that: Select one: a. maximises return for a given level of risk. b. maximises risk for a given level of return. c. minimises risk for a given rate of return. d. Both A and C. are efficient portfolios.
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For a market timer, the ________ will be higher when the market risk premium is higher Select one: a. portfolio’s idiosyncratic risk b. portfolio’s standard deviation c. portfolio’s beta d. security selection component of the portfolio e. portfolio’s alpha
Imagine a feasible set of portfolios with two risky assets with a correlation of -1. What name did Harry Markowitz give to the portfolios on the upper arm of the sideways 'v'? The feasible set The portfolio possibility line. The optimum set The efficient set Previous Page Next Page
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son.3
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You are choosing between the following portfolios. Which one do you choose? Select one: a. ASD b. JKL c. Not enough information

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