The following data are available relating to the performance of Sooner Stock Fund and the market portfolio:

The risk-free return during the sample period was 3%.
What is the Sharpe measure of performance evaluation for Sooner Stock Fund?
A) 0.0133
B) 0.04
C) 0.0867
D) 0.386
E) 0.3714

Question

The following data are available relating to the performance of Sooner Stock Fund and the market portfolio:

The risk-free return during the sample period was 3%.
What is the Sharpe measure of performance evaluation for Sooner Stock Fund?
A) 0.0133 
B) 0.04 
C) 0.0867 
D) 0.386 
E) 0.3714

Quizplus · Accepted Answer

(0.20 − 0.03)/0.44 = 0.386.

The Following Data Are Available Relating to the Performance of Sooner