Sharp index, Treno index and Zhan Sen index are the three basic indexes to evaluate fund performance. The main defect is that Sharp Index and Treno Index do not consider market factors when measuring returns, and because they are relative indicators, they can only be used for comparison and ranking. What is the specific value that the fund outperforms market portfolio?

In addition, the Treno index does not exclude the factors of market conditions, but people often can't outrun the market, and market factors may play a great role in the income.

Although Zhan Sen index is one of the most widely used evaluation methods so far, its evaluation of fund returns is not comprehensive enough. It measures the return of portfolio selection, but does not evaluate the market timing ability.

Zhan Sen index and Treno index only consider the size of excess returns, that is, the depth of the fund portfolio, while ignoring the number of securities contained in the fund portfolio, that is, the breadth of the fund portfolio.