Fani Warraich MANAGEMENT SCIENCES   -   Investments & Portfolio Management

Which of the following measures assesses the risk-adjusted performance of an investment portfolio?

A) Tracking error measures the deviation of portfolio returns from the benchmark. B) Sharpe ratio evaluates the excess return of a portfolio per unit of risk (usually standard deviation). C) Treynor ratio measures the excess return per unit of systematic risk. D) Sortino ratio measures downside risk-adjusted return.
Which of the following investment strategies involves holding a mix of assets in a fixed proportion? In the context of Modern Portfolio Theory, the efficient frontier represents: Which of the following measures the sensitivity of an asset's returns to changes in market returns? Which of the following measures the dispersion of returns around the mean return of an investment? The efficient market hypothesis (EMH) suggests that Which of the following measures assesses the risk-adjusted performance of an investment portfolio? Which of the following is NOT considered a primary characteristic of an efficient market? Which of the following represents the risk that can be eliminated through diversification? The Capital Asset Pricing Model (CAPM) suggests that the expected return of an asset is primarily influenced by Which of the following investment styles involves selecting stocks based on their price-to-earnings ratio and other fundamental indicators?