hi everyone
without being insistent, does anyone here kindly remember whether:
one questin identified employees strikes as possible operational risk for an airline company
one question identified sharpe ratio as the only ratio that does not require any market index or benchmark value
one question on how to overcome a lac k of observations within a sample, identified a proper solution in generating additional data through montecarlo and adding those data back to the existing observations
thank you very much in advance
I actually do not recall my choice for operational risk, but an employee strike pretty much sounds like on to me. As for the question on the ratio not requiring a benchmark, I chose Jensen's Alpha. For me, it was a matter of using the process of elimination. Clearly, the info ratio is not a choice since it uses a benchmark. And the treynor and sharpe ratios both use the risk free rate as a benchmark. Jensen's Alpha is just a measurement of excess return over expected return which is not a benchmark. On the question of what to do when not enough data is available, I think I chose the same as you.