A Portfolio Has a Variance of 0

question 18

Multiple Choice

A portfolio has a variance of 0.04050,a beta of 1.60,and an expected return of 14.3 percent.What is the Treynor ratio if the expected risk-free rate is 5.5 percent?

• A) 0.055
• B) 0.063
• C) 0.367
• D) 0.498
• E) 0.512

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Definitions:

Hormone Therapy

A treatment method that uses hormones to treat medical conditions, often used in menopause or to support gender transition.

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A condition characterized by weakened bones, increasing the risk of fractures.

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A measure that combines income level, education, and occupational prestige to categorize individuals or groups.