What is a Sharpe ratio?
What will be an ideal response?
The Sharpe ratio is a measure of the risk-return tradeoff on an asset or a portfolio of assets. It is measured by taking the ratio of the average excess return on the asset divided by the standard deviation of the return on the asset.
Business
You might also like to view...
Substituting EBITDA for EBIT when computing the times interest earned ratio will make the company appear
A) more leveraged. B) less leveraged. C) more profitable. D) less efficient.
Business
A function of continuous random variables which allows for graphical interpretations of their probability structure is called the:
A) cumulative distribution function. B) probability density function. C) uniform distribution. D) expected value.
Business