INVESTMENTS(LL)W/CONNECT
11th Edition
ISBN: 9781260433920
Author: Bodie
Publisher: McGraw-Hill Publishing Co.
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Question
Chapter 26, Problem 5PS
Summary Introduction
To determine:
For evaluation of hedge fund, the most appropriate benchmark among the given ones.
Introduction:
For hedge fund evaluation, evaluation of the indexes is done and it is seen that when there is a fixed income hedge fund then the high return individual index would be the best and when there is an equity hedge fund then the most liquid stocks in indexes are considered as a best individual market index.
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Students have asked these similar questions
It measures how much rate of return the fund manager/fund generates per unit of systematic risk (beta)?
a.PSE
b.Jensen Index
c.Treynor Index
d. Sharpe Index
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Of the following investment vehicles, which is the best and which is the worst? Choose from common stocks, mutual funds, ETFs, REITs. Explain why.
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