Question: Q1 please help me. Really appreciate your work CASE #1 - GRAND CAPITAL LLC (20 marks in total) The following information refers to Questions 1.1-1.6

Q1 please help me. Really appreciate your work

Q1 please help me. Really appreciate your work CASE #1 - GRAND

CASE #1 - GRAND CAPITAL LLC (20 marks in total) The following information refers to Questions 1.1-1.6 James Hammond, the Chief Financial Officer (CFO) of Grand Capital LLC, during the annual meeting of board of directors, suggests examining the performance of managers who were responsible to manage company portfolio and diversify it by investing into new asset classes, if necessary, in order to decide which manager needs to be replaced. The following table represents the summary of individual manager's performance including market information: Manager Return % B Manager 1 19 30 2.3 Manager 2 15 25 1.8 Manager 3 12 21 1.2 Market (M) 6 15 Risk-Free Rate (Rf) 2.8 Richard May, Chief Investment Officer (CIO) informed all board directors that managers failed to diversify all portfolios efficiently; hence, he stated they should be worried about high-risk securities in the portfolio. Question 1.1 (3 marks) Compute the expected return for all three managers. Question 1.2 (3 marks) Compute the Jensen's alpha for all three managers. Question 1.3 (3 marks) Compute the Sharpe ratio for all three managers. Question 1.4 (3 marks) Compute the Treynor ratio for all three managers. Question 1.5 (3 marks) Compute the M-squared for all three managers. Question 1.6 (5 marks) James wishes to know which manager failed to perform well

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