A fund has employed three investment managers, each of whom is responsible for investing in...
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Finance
A fund has employed three investment managers, each of whom is responsible for investing in one-third of all asset classes so that the fund has a well-diversified portfolio. Information about the managers is given below.
Manager | Ave. Return (%) | (%) | |
X | 6 | 10 | 1.1 |
Y | 11 | 20 | 0.9 |
Z | 12 | 25 | 1.5 |
S&P 500 (M) | 7.5 | 18 | 1 |
Risk-free rate (Rf) | 3 |
Using raw returns, which manager has the best performance?
Question 5 options:
| Manager X |
| Manager Y |
| Manager Z |
| Not enough information given. |
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