The __________ measures the reward to volatility trade-off by dividing the average portfolio excess return by the standard deviation of returns.
A)Sharpe measure
B)Treynor measure
C)Jensen measure
D)information ratio

Question

Quizplus · Accepted Answer

The Sharpe measure specifically measures the reward to volatility trade-off by dividing the average portfolio excess return by the standard deviation of returns. The other options listed do not directly measure this trade-off.

The __________ Measures the Reward to Volatility Trade-Off by Dividing