You have been given the following return information for two mutual funds (Papa and Mama), the market index, and the risk-free rate.
|
Year
|
Papa Fund
|
Mama Fund
|
Market
|
Risk-Free
|
|
2008
|
-12.6%
|
-22.6
|
-24.5%
|
1%
|
|
2009
|
25.4
|
18.5
|
19.5
|
3
|
|
2010
|
8.5
|
9.2
|
9.4
|
2
|
|
2011
|
15.5
|
8.5
|
7.6
|
4
|
|
2012
|
2.6
|
-1.2
|
-2.2
|
2
|
Calculate the Sharpe ratio, Treynor ratio, Jensen's alpha, information ratio, and R-squared for both funds and determine which is the best choice for your portfolio.