If a Portfolio Had a Return of 8%, the Risk-Free

question 72

Multiple Choice

If a portfolio had a return of 8%, the risk-free asset return was 3%, and the standard deviation of the portfolio's excess returns was 20%, the Sharpe measure would be

• A) 0.08.
• B) 0.03.
• C) 0.20.
• D) 0.11.
• E) 0.25.

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Definitions:

Life Expectancy

The average number of years an individual or a specific group of people is expected to live, based on statistical calculations.

Sub-Saharan African Countries

Nations located in the African region south of the Sahara Desert, characterized by diverse cultures, languages, and economic conditions.

Fertility Rates

The average number of children born to a woman over her lifetime within a specific population.

Developing Countries

Nations with a lower level of industrialization, lower living standards, and lower Human Development Index than developed countries.