Multiple Choice
The Sharpe performance measure is:
A) the total return on the investment.
B) the premium earned above the risk-free rate divided by the standard deviation of return on the security.
C) the standard deviation of return on the security divided by the return on the security.
D) the return of the security divided by the standard deviation of return on the security.
Correct Answer:
Verified
Correct Answer:
Verified
Q5: Sharp performance measures above the capital market
Q6: CFA Institute standards recommend, in general, that
Q7: The Capital Market Line measures the risk/return
Q8: The Sharpe performance measure will tend to
Q9: CFA Institute performance presentation standards require<br>A) semi-annual
Q11: The geometric average rate of return on
Q12: CFA Institute standards require the calculation of
Q13: A security with a beta of zero
Q14: The geometric mean is always less than
Q15: The Treynor performance measure should be used