When __________ of an Asset Is Better Than the Comparable

question 48

Multiple Choice

When __________ of an asset is better than the comparable market measure, ___________ is also better than the market.

• A) the Sharpe ratio; the Treynor ratio
• B) Jensen's alpha; the Sharpe ratio
• C) the raw return; Jensen's alpha
• D) Jensen's alpha; the Treynor ratio
• E) the Treynor ratio; the raw return

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Definitions:

Sequential Search

Sequential search is a search algorithm that checks each element in a list one by one until the desired element is found or the end of the list is reached.

Ordered List

An ordered list is a collection of elements arranged in a linear sequence according to some sortable property, such as numerical or lexicographical order.

Key Comparisons

The act of evaluating two keys during sorting or searching algorithms to determine their relative order.

Binary Search

Binary search is an efficient algorithm for finding a target value within a sorted array by repeatedly dividing the search interval in half.