n NISM Certifications
XXI NISM Series XXI-A
Medium

Three funds X, Y, and Z beat their benchmark returns by 4%, 5%, and 7% respectively. Their excess returns are volatile to the extent of 3%, 5%, and 6% respectively. From this data, calculate how much did the information ratio of fund X beat that of fund Z?

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

Options

  1. A

    A) 1.7

  2. B

    B) 0.017

  3. C) 0.17

    Correct answer

  4. D

    D) 0.0017

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

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