RISK ADJUSTMENT RETURNS CASE STUDIES

Case Study: SCHEME 1: NAV Rose from 10 to 10.5 In one year: BETA =1.3, SD = 10%. SCHEME 2: NAV Rose from 13 to 13.5 In One Year: BETA = 1.2 , SD = 8% . Benchmark Rose from 4000 -4150 (Benchmark Return Will Be Risk Free). | Question 1: What is Sharpe Ratio of Scheme 1?

Question 2: What is Treynor Ratio of Scheme 2?

Question 3: What are absolute returns of scheme 1?

Scheme 1- NAV rose from 11 to 12 in one year: Beta- 1.2 , SD- 16%. Scheme 2: NAV rose from 16 to 17.1 in two years: Beta- 1.1, SD- 12% Benchmark rose from 6000-6350. Benchmark return will be risk-free. Question 1: What is the Sharpe ratio of scheme 1?

Question 2: What is the Treynor ratio of scheme 2?

Question 3: What are the absolute returns of scheme 1?

Question 4: What is the difference between absolute returns of schemes?

Scheme 1- NAV rose from 12 to 13.5 in one year,Beta: 1.05, S.D: 15%. Scheme 2- NAV rose from 14 to 16 in three years : Beta: 1.15 , S.D- 18%; Benchmark rose from 5500 to 5850. Benchmark return will be risk-free. Question 1: What is the Sharpe ratio of Scheme 1?

Question 2: What is the Treynor ratio of Scheme 2?

Question 3: What are the absolute returns of Scheme 1?

Question 4: What is the difference between absolute returns of schemes?