Question: Suppose two portfolios have the same average return and the same standard deviation of returns, but portfolio A has a lower beta than portfolio B.

Suppose two portfolios have the same average return and the same

Suppose two portfolios have the same average return and the same standard deviation of returns, but portfolio A has a lower beta than portfolio B. Using the Treynor ratio of performance evaluation, which of the following statements is correct: the performance of portfolio A is worse than the performance of portfolio B the performance of portfolio A is the same as the performance of portfolio B the Treynor ratio is scaled by the standard deviation of portfolio returns the performance of portfolio A is better than the performance of portfolio B

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