PDI Exam Questions and Answers

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PDI - Platform Developer I (PDI)

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You are given a risk-free rate of 3% per year, a portfolio return of 8% per year, and a standard deviation of portfolio return of 22% per year. What is the Sharpe measure of risk-adjusted performance?
A. 0.250.
B. 0.222.
C. 0.234.
D. 0.227.
Answer: D
The Sharpe measure of risk-adjusted performance is equal to (rbar_p - rbar_f)/sigma_p, where rbar_p is the mean portfolio return, rbar_f is the mean risk-free return, and sigma_p is the standard deviation of portfolio return. In our case, we have (8% - 3%) / 22% = 5/22 = 0.227.



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What is included in this PDI exam package?

PDF Format eBook

PDF PDI exam questions and answers can be run on any portable device or on your desktop computer. This PDI exam questions and answers PDF provides a complete study material that you can open at any given time when you want to prepare for your PDI exam. It’s structured in such a way so you can easily access the page you need with a single click. You can prepare for this assessment anywhere you want, thanks to the portability of the wonderful PDI PDF exam questions and answers.

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