The Following Data Are Available Relating to the Performance of Long

question 6

Multiple Choice

The following data are available relating to the performance of Long Horn Stock Fund and the market portfolio: The risk-free return during the sample period was 6%. Calculate the information ratio for Long Horn Stock Fund.

• A)1.33
• B)4.00
• C)8.67
• D)31.43
• E)37.14

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Definitions:

Definition of Wisdom

The quality of having experience, knowledge, and good judgment; the soundness of an action or decision with regard to the application of such experience, knowledge, and good judgment.

Change Over Time

The concept of transformation or variation in conditions, characteristics, or perceptions across different periods.

Phlegmatic

Describes a personality type characterized by calm, unemotional, and relaxed traits.

Choleric

One of the four temperament types, characterized by a quick, intense, and easily provoked nature.