You are provided the monthly returns data for an investment fund and its benchmark for the last five months. The fund r
Posted: Tue Apr 26, 2022 10:54 am
You are provided the monthly returns data for an investment fund
and its benchmark for the last five months. The fund returned
0.8%, 2.1%, 0.3%, 2.6%, and -0.5% in these five months
respectively. The benchmark returned 1.5%, 0.4%, 0.4%, 0.5%,
and -1.0% in the corresponding five months. The risk-free
asset has an effective annual return (EAR) of 1% during these five
months. The beta of the fund is 0.4178. What is the M2
Measure of the fund using annualized numbers?
Question 12 options:
8.7324%
8.9749%
9.2175%
9.4601%
9.7026%
and its benchmark for the last five months. The fund returned
0.8%, 2.1%, 0.3%, 2.6%, and -0.5% in these five months
respectively. The benchmark returned 1.5%, 0.4%, 0.4%, 0.5%,
and -1.0% in the corresponding five months. The risk-free
asset has an effective annual return (EAR) of 1% during these five
months. The beta of the fund is 0.4178. What is the M2
Measure of the fund using annualized numbers?
Question 12 options:
8.7324%
8.9749%
9.2175%
9.4601%
9.7026%