How is Sharpe ratio calculated
How is Sharpe ratio calculated?
Expert
Sharpe ratio is calculated as:
Sharpe ratio = (µ − r)/σ
Here µ is the return on the strategy over some given period, r is the risk-free rate over such period and here σ is the standard deviation of returns. This Sharpe ratio will be quoted in annualized conditions. A high Sharpe ratio is intended to be an indication of a good strategy.
What is Crash Metrics?
How does marking to market affect risk management in derivatives trading?
Review a current article on strategic planning from a business journal. The article should have been published within the last 3 years. The review is to include full bibliographical information for the article being reviewed and any other referenced material; discuss in scholarly detail a summary of
Describe difference between international financial management and domestic financial management?
Staind, Inc., has 7 percent coupon bonds on the market that have 13 years left to maturity. The bonds make annual payments. If the YTM on these bonds is 11 percent, what is the current bond price?
Explain the tax considerations effect on the cost of equity and the cost of debt?
How is hedging requirement decreased by a gamma-neutral strategy?
What is Knight in finance theory?
the division of U.S businesses into the categories on proprietorship, partnerships, and corporations is based on what?
What is the validity of the Efficient-market hypothesis?
18,76,764
1931931 Asked
3,689
Active Tutors
1452755
Questions Answered
Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!