During the year just? ended, Anna? Schultz's portfolio, whichhas a beta of 0.98?, earned a return of 8.7%.
The? risk-free rate is currently 4.2%?, and the return on themarket portfolio during the year just ended was 9.4%.
A. Calculate? Treynor's measure for? Anna'sportfolio for the year just ended.
b. Compare the performance of? Anna's portfoliofound in part a to that of Stacey? Quant'sportfolio, which has a? Treynor's measure of 1.36%. Which portfolioperformed? better? Explain.
c. Calculate? Treynor's measure for the marketportfolio for the year just ended.
d. Use your findings in partsa and c to discuss theperformance of? Anna's portfolio relative to the market during theyear just ended.
a.The? Treynor's measure for? Anna's portfolio is ___?%. (Roundto two decimal? places.)
- ?Anna's portfolio_____
1.outperformed
2.underperformed Stacy's with a TM of___
1. 4.59
2. 1.36
?% versus one of 1.36?%. (Select from the? drop-down menus.)
c.??The? Treynor's measure for the marketportfolio is ___?%. (Round to two decimal? places.)
d.??The market_____
?
1.outperformed
2. underperformed
?Anna's portfolio; its TM was______
?
1. 4.59
2. 1.36
3. 5.20
?%, compared to
?
1. 4.59
2. 1.36
3. 5.20
?% for her portfolio.???(Select from the? drop-down menus.)
