Consider two methods of attribution analysis along with six different measures of risk-adjusted portfolio performance evaluation namely Sharpe ratio, Risk-adjusted Performance (or M2), Treynor ratio, Jensen alpha, information ratio and Sortino ratio

. a. Describe how you would go about conducting attribution analysis in practice using the two methods. Support your answer with appropriate example. (10 marks)

b. Describe how the six portfolio performance evaluation measures adjust a portfolios return performance on a risk-adjusted basis. Which measure do you think is the best in measuring portfolio performance? (15 marks)