What is the sharpe ratio of this strategy in annual terms

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Question - A strategy has a monthly total return of 0.0025 (0.25%) and a monthly standard deviation of total returns of 0.0040 (0.40%). The risk free rate is 2% and the market risk premium is 4%, both per annum. What is the Sharpe ratio of this strategy in annual terms?

Reference no: EM133251813

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