What Is the Treynor Ratio of a Portfolio Comprised of 50

question 54

Multiple Choice

What is the Treynor ratio of a portfolio comprised of 50 percent portfolio A and 50 percent portfolio B? The risk-free rate is 3.12 percent and the market risk premium is 8.5 percent.

• A) .041
• B) .058
• C) .070
• D) .114
• E) .136

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Definitions:

Androgyny

The combination of masculine and feminine characteristics into an ambiguous form, often used in the context of fashion, gender identity, or sexual orientation.

American Psychological Association

A leading scientific and professional organization representing psychology in the United States, dedicated to advancing psychological knowledge to benefit society and improve people's lives.

Transgender

Describing an individual whose gender identity differs from the sex assigned at birth.

Sex

A biological characteristic defining male, female, and intersex based on reproductive anatomy and genetic composition.