The Witney Growth Fund, a No- Fee Managed Fund, Had

question 5

Essay

The Witney Growth Fund, a no- fee managed fund, had a net tangible asset value per unit of $54.28 one year ago. Its current net tangible asset value is $56.93. During the year it paid out dividends and capital gains of
$2.08 per unit. It has a beta value of 1.75. Over the same period the market return was 6.4% and the risk- free rate of return was 3.5%.
(a) Calculate Treynor's measure for the Witney Growth Fund. (Show all work.)
(b) Based on Treynor's measure, how did the fund perform in relation to the overall market?

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