The Sharpe Reward-To-Variability Ratio

question 55

Multiple Choice

The Sharpe reward-to-variability ratio

• A) is based on total risk.
• B) will always give the same portfolio performance conclusion as the reward-to-volatility.
• C) is based on the SML.
• D) will provide the same rank order of portfolio performance as the reward-to-volatility.

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Definitions:

Freud

Sigmund Freud, an Austrian neurologist known for founding psychoanalysis, a method for treating psychopathology through dialogue.

Structures of Personality

Theoretical frameworks in psychology that describe the different components making up human personality, as shaped by various factors.

Freud

Sigmund Freud, an Austrian neurologist and the founder of psychoanalysis, a method for treating psychopathology through dialogue.

Ego

The Freudian structure of personality that deals with the demands of reality.