When is it appropriate to use following ratios to measure portfolio performance ? Briefly explain with examples.

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a. Sharpe ratio
b. Treynor Ratio
c. Information Ratio

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Fundamentals of Financial Management

ISBN: 978-1337395250

15th edition

Authors: Eugene F. Brigham, Joel F. Houston

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Posted Date: May 09, 2024 07:31 AM

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When is it appropriate to use following ratios to measure portfolio performance ? Briefly explain with examples.

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Expert Answer:

a Sharpe Ratio The Sharpe ratio is a measure of riskadjusted return and is used to evaluate the performance of an investment or portfolio relative to its volatility or risk It helps investors assess w... View the full answer

Fundamentals of Financial Management

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