You have been hired as a consultant to the pension fund of a large manufacturer of agricultural equipment. The management of the pension fund has identified the 6 actively managed equity mutual funds as investment candidates. Answers the questions that they have about investing in these mutual funds (please provide a detailed justification for each of your responses).

   Suppose that the pension fund would like to allocate the entire risky portion of their investment portfolio to only one of the actively managed funds. Using an appropriate performance ratio, determine which mutual fund should be chosen.