Question: 7. (12 pts) Given the information below, compute the Sharpe ratio and Information ratio for a fund with: Annualized fund return: 8.35% Annualized benchmark return:

7. (12 pts) Given the information below, compute the Sharpe ratio and Information ratio for a fund with: Annualized fund return: 8.35% Annualized benchmark return: 6.43% Annualized risk-free return: 1.26% Annualized standard deviation of fund returns: 13.5% Annualized tracking error/active risk of fund vs. benchmark: 4.81%

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