b)You need to analyse the type of investment skills the fund managers have employed and suggesthow improve the funds's performances in the future. Below is the historical performance for two (2)different funds, the Kuala Lumpur composite Index (KLCI) and the 30-days Malaysia Treasury bill.Employ the data and analyse according to the questions below:Investment fundAverage rate of returnStandard deviationBetaCIMB Small cap fund25.5%18%1.45Public Bank fund20%13%0.8KLCI18%15%30 days-T-Bill2.4%0%i)Calculate the fama overall performance measure for both fundsCompute the expected return to risk for both fundii)ii)Compute the measure of selectivity, diversification, and net selectivity

The Fama model is a short-term asset pricing model developed in 1992 by Eugene Fama Noble prize…

b) You need to analyse the type of investment skills the fund managers have employed and suggest how improve the funds's performances in the future. Below is the historical performance for two (2) different funds, the Kuala Lumpur composite Index (KLCI) and the 30-days Malaysia Treasury bill. Employ the data and analyse according to the questions below: Investment fund CIMB Small cap fund Public Bank fund KLCI 30 days-T-Bill i) ii) iii) Average rate of return Standard deviation 25.5% 20% 18% 2.4% 18% 13% 15% 0% Beta 1.45 0.8 Calculate the fama overall performance measure for both funds Compute the expected return to risk for both fund Compute the measure of selectivity, diversification, and net selectivity

b) You need to analyse the type of investment skills the fund managers have employed and suggest how improve the funds's performances in the future. Below is the historical performance for two (2) different funds, the Kuala Lumpur composite Index (KLCI) and the 30-days Malaysia Treasury bill. Employ the data and analyse according to the questions below: Investment fund CIMB Small cap fund Public Bank fund KLCI 30 days-T-Bill i) ii) iii) Average rate of return Standard deviation 25.5% 20% 18% 2.4% 18% 13% 15% 0% Beta 1.45 0.8 Calculate the fama overall performance measure for both funds Compute the expected return to risk for both fund Compute the measure of selectivity, diversification, and net selectivity

Economics:

10th Edition

ISBN:9781285859460

Author:BOYES, William

Publisher:BOYES, William

Chapter31: Capital Markets

Section: Chapter Questions

Problem 8E

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