Consider a portfolio manager, Sarah, who manages a multi-asset portfolio that includes equities, fixed income, and alternative investments. At the end of the fiscal year, Sarah is tasked with evaluating the performance of her portfolio. She observes that although the portfolio has achieved a return of 10%, the benchmark return is 12%. Additionally, the portfolio's standard deviation is 15%, while the benchmark's standard deviation is 10%. To assess her performance, Sarah decides to use the Sharpe ratio and the Information ratio in her evaluation.

Which of the following statements about the performance appraisal of Sarah's portfolio is correct?