The Following Data Are Available Relating to the Performance of Wildcat

question 15

Multiple Choice

The following data are available relating to the performance of Wildcat Fund and the market portfolio: $$\begin{array} { l c c } & & { \text { Market } } \\& \text { Wildcat } & \text { Portfolio } \\\text { Average return } & 18 \% & 15 \% \\\text { Standard deviations of returns } & 25 \% & 20 \% \\\text { Beta } & 1.25 & 1.00 \\\text { Residual standard deviation } & 2 \% & 0 \%\\\end{array}$$ The risk-free return during the sample period was 7%. Calculate Sharpe's measure of performance for Wildcat Fund.

• A) 1.00%
• B) 8.80%
• C) 44.00%
• D) 50.00%

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Definitions:

Revenge

The act of retaliating or seeking payback for a real or perceived wrong.

Pleasure

A feeling of happiness, enjoyment, or satisfaction derived from an experience that is enjoyable or satisfying.

Motivation

The process that initiates, guides, and maintains goal-oriented behaviors, driving individuals to fulfill their needs and desires.

Inner Drives

Internal motivations that compel individuals to act or behave in certain ways, often linked to basic physiological or psychological needs.