• 1. Introduction
  • 2. The market climate bias - theoretical foundation
  • 2.1 Sharpe ratio and main characteristics of funds
  • 2.2 Impact of market climates on the Sharpe ratio
  • 3. The market climate bias - empirical analysis
  • 3.1 Data
  • 3.2 Impact of market climates on (differential) Sharpe ratios and fund rankings
  • 4. "Normalized" Sharpe ratio
  • 5. Conclusion