Question: You are provided with annual return, standard deviation of returns, and tracking error to the relevant benchmark for three portfolios. Calculate the Sharpe ratio and

You are provided with annual return, standard deviation of returns, and tracking error to the relevant benchmark for three portfolios. Calculate the Sharpe ratio and information ratio for the three portfolios and rank them according to each measure.

Tracking Error 6.50% 8.00% 7.00% Portfolio Return 13.50% 16.25% 17.00% 13.00% 5.00% Standard Deviation 19.00% 24.00% 23.00% 20.00% Benchmark Risk-free

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