A Portfolio Has a Treynor Ratio of

question 73

Multiple Choice

A portfolio has a Treynor ratio of .055, a standard deviation of 13.3%, a beta of 1.22, and an expected return of 15.3%. What is the risk-free rate?

• A)6.18%
• B)7.21%
• C)7.39%
• D)8.18%
• E)8.59%

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Definitions:

Intellectual Capabilities

The cognitive abilities and skills of an individual to perform tasks, solve problems, and create value through intellectual effort and creativity.

Business Workforce

The group of employees who work together to achieve the business goals and objectives.

Traditional Management

A hierarchical approach to management that focuses on top-down decision making and established procedures.

Age Diversity

The inclusion of people of different ages within a workforce or group, contributing to a variety of perspectives and experiences.