Question: Portfolio Average Return Standard Deviation Beta A 14.7% 18.6% 1.47 B 8.8 14.2 .78 C 11.2 16.0 1.22 The risk-free rate is 4.5 percent and

Portfolio Average Return Standard Deviation Beta
A 14.7% 18.6% 1.47
B 8.8 14.2 .78
C 11.2 16.0 1.22

The risk-free rate is 4.5 percent and the market risk premium is 7 percent.

What is the Treynor ratio of a portfolio comprised of 30 percent portfolio A, 20 percent portfolio B, and 50 percent portfolio C?

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Q:

Portfolio Average Return Standard Deviation Beta A 14.7% 18.6% 1.47 B 8.8 14.2 .78 C 11.2 16.0 1.22 The risk-free rate is 4.5 percent and the market risk premium is 7 percent. What is the Treynor...

Q:

QUESTION 18 What is the Treynor ratio of a portfolio comprised of 25 percent portfolio A, 35 percent portfolio B, and 40 percent portfolio C? Portfolio Average Return Standard Deviation Beta A 15.3%...

Q:

65. What is the Treynor ratio of a portfolio comprised of 25 percent portfolio A, 35 percent portfolio B, and 40 percent portfolio C? Portfolio Average Return Standard Deviation Beta A 153% 17.2%...

Q:

Portfolio Average Return Standard Deviation Beta 14.7% 18.6% 1.47 8.8% 14.2% 0.78 11.2% 16.0% 1.22 The risk-free rate is 4.5% and the market risk premium is 7%. What is the beta of a portfolio...

Q:

You are an analyst for a large public pension fund and you have been assigned the task of evaluating two different external portfolio managers ( Y and Z ). You consider the following historical...

Q:

You are an analyst for a large public pension fund and you have been assigned the task of evaluating two different external portfolio managers (Y and Z). You consider the following historical average...

Q:

You are an analyst for a large public pension fund and you have been assigned the task of evaluating two different external portfolio managers (Y and Z). You consider the following historical average...

Q:

B. Security market Line C. Security market Line D. Security market Line Explain whether you can conclude from the information in Part b if: 1. either manager outperformed the other on a risk-adjusted...

Q:

1. manager y or z, manager y or z 2. outperformed or underperformed, outperformed or underperformed B. Security market Line c. Security market Line E(Ri) Choose the correct SML graph. The correct...

Q:

Hi Vandana, this is a case study for my investment class. a little heavier than the last one I asked you about. Could you please help? details attached. Original Portfolio Mean Return Standard...

Q:

We are splitting negligence from the rest of the torts content as negligence is a very important area of law and quite dense. 1. Explain in one sentence what a tort is. Provide an example of an...

Q:

40. Determine the inverse function for y =g(t)=7. (If a logarithm is necessary, use the natural log function.)

Q:

P 1 0 . 1 1 B Modified ( LO 1 ) ( Depreciation for Partial Periods SL , Act., SYD , and DDB ) On January 1 , 2 0 2 2 , a machine was purchased for $ 1 5 5 , 0 0 0 . The machine has an estimated...

Q:

On 1 March 2007 DB Limited issued R560 000 15% debentures at R98. The debentures were to be redeemed at par in four equal annual payments starting 28 February 2010. Required: Journalise the above...