n NISM Certifications
XXI NISM Series XXI-A
Medium

The 'Sharpe Ratio' is calculated as:

Practice question from NISM XXI A for PMS - Mock Test 3 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. (Portfolio Return - Risk-Free Rate) / Standard Deviation of Portfolio Returns

    Correct answer

  2. B

    Portfolios' Beta / Market Return

  3. C

    Total Return / Number of Years

  4. D

    Dividend Yield / Price-Earnings Ratio

A full explanation for this question is being written. In the meantime, the correct answer is highlighted above.

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