Capital Market Expectation - Practice problem nb 5 - B

Hi,

in this practice problem we end up finding the Expected Return for 3 sectors. the question is then “which sector is more attractive from a Valuation stand point”.

the solution in the book is “we cannot conclude from a valuation standpoint”.

What is missing to conclude form a valuation standpoint? I would have chosen the Sharpe ratio to conclude which asset is better but it seems that i am missing something in this question.

thanks