The Sharpe, Treynor, and Jensen Portfolio Performance Measures Are Derived

question 49

Multiple Choice

The Sharpe, Treynor, and Jensen portfolio performance measures are derived from the CAPM,

• A) therefore, it does not matter which measure is used to evaluate a portfolio manager.
• B) however, the Sharpe and Treynor measures use different risk measures. Therefore, the measures vary as to whether or not they are appropriate, depending on the investment scenario.
• C) therefore, all measure the same attributes.
• D) therefore, it does not matter which measure is used to evaluate a portfolio manager. However, the Sharpe and Treynor measures use different risk measures, so therefore, the measures vary as to whether or not they are appropriate, depending on the investment scenario.
• E) None of the options are correct.

---

Definitions:

Followers

Individuals who support and are guided by a leader, often contributing to the leaders' vision and goals through their cooperation and efforts.

W.K.Kellogg Foundation

A philanthropic organization focused on supporting children, families, and communities in creating and strengthening conditions that propel vulnerable children to achieve success as individuals and as contributors to the larger community and society.

Leadership Scholars

Researchers and academics dedicated to studying the theory and practice of leadership.

Just Society

A societal ideal that emphasizes fairness, equity, and justice for all its members, aiming to protect individual rights while ensuring communal responsibility.