Multiple Choice
A diversified portfolio has a beta of 1.33 and a raw return of 9.38%. The market return is 10.10% and the market risk premium is 6.58%. What is Jensen's alpha of the portfolio?
A) −3.62%
B) −2.89%
C) −.29%
D) 2.89%
E) 3.62%
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q46: Trailer Co. stock has an expected return
Q47: You have computed the expected return using
Q48: A portfolio consists of the following two
Q49: A portfolio has a standard deviation of
Q50: Rick's portfolio has a 3-year standard deviation
Q52: A Sharpe-optimal portfolio provides which one of
Q53: You are considering the purchase of a
Q54: A portfolio has a variance of .04050,
Q55: A portfolio has a Sharpe ratio of
Q56: You have a portfolio which has