All returns and standard deviations are in raw decimal form. Linxiang is a portfolio manager. He currently manages a portfolio that invests in the entire market (portfolio M). He has analysed the shares of two companies, Bannockburn Bricks Ltd (BBL) and Curtis Curtains Ltd (CCL) and has decided to overweight them in his portfolio to create a new portfolio, OW (= Over Weighted). The expected return on the market, E[FM], is 0.07, the standard deviation of the market, M, is 0.21, and the risk-free rate, ry, is 0.02. His analyses reveal the following (the data are in "decimal form", NOT "percent"): Stock BBL CCL Alpha -0.01 0.03 Beta 1.6 1.4 Residual SD 0.34 0.33 What is the new Sharpe Ratio of the portfolio that is optimally overweighted following the Treynor-Black methodology? Show your work and all intermediary steps. [10 marks]