Consider the following information for a mutual fund the


Consider the following information for a mutual fund, the market index, and the risk-free rate. You also know that the return correlation between the fund and the market is .97.

Year Fund Market Risk-Free

2008 –15.80% –31.5% 3%

2009 25.1% 20.2% 5%

2010 13.1% 11.5% 2%

2011 7.6% 8.0% 5%

2012 –1.62% –3.2% 3%

What are the Sharpe and Treynor ratios for the fund?

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Financial Management: Consider the following information for a mutual fund the
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