The Following Data Are Available Relating to the Performance of Sooner

question 41

Multiple Choice

The following data are available relating to the performance of Sooner Stock Fund and the market portfolio: $\begin{array}{lcc} & \text { Sooner } & \text { Market } \\&&\text { Portfolio }\\\text { Average return } & 20 \% & 11\% \\\text { Standard deviations of returns } & 44\% & 19\% \\\text { Beta } & 1.8 & 1.0 \\\text { Residual standard deviation } & 2.0 \% & 0.0 \%\end{array}$
The risk-free return during the sample period was 3%.
Calculate the information ratio for Sooner Stock Fund.

• A) 1.53
• B) 1.30
• C) 8.67
• D) 31.43
• E) 37.14

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Definitions:

Temple-pyramid

A monumental structure combining aspects of both temples and pyramids, often found in ancient Mesoamerican architecture.

La Venta

An ancient Olmec civilization site located in present-day Mexico, known for its colossal stone heads and considered a major center of Olmec culture.

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A region notable for its archaeological sites, including shaft tombs and characteristic figurines, reflecting the area's pre-Columbian cultures.