Suppose Two Portfolios Have the Same Average Return,the Same Standard

question 57

Multiple Choice

Suppose two portfolios have the same average return,the same standard deviation of returns,but Buckeye Fund has a lower beta than Gator Fund.According to the Sharpe measure,the performance of Buckeye Fund

• A)is better than the performance of Gator Fund.
• B)is the same as the performance of Gator Fund.
• C)is poorer than the performance of Gator Fund.
• D)cannot be measured as there is no data on the alpha of the portfolio.
• E)none of the above is true.