Multiple Choice
A portfolio has a beta of 1.25 and an actual return of 13.0 percent.The risk-free rate is 4.50 percent and the market risk premium is 8.2 percent.What is the value of Jensen's alpha?
A) −0.86
B) −1.01
C) −1.14
D) −1.25
E) −1.34
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q5: The U.S.Treasury bill is yielding 2.5 percent
Q6: A portfolio consists of the following two
Q7: What is the Treynor ratio of a
Q8: You have a portfolio which has an
Q9: A portfolio has an average return of
Q12: Your portfolio has an expected annual return
Q13: What is Jensen's alpha of a portfolio
Q14: Which one of the following correctly states
Q15: Your portfolio has a standard deviation of
Q38: The risk premium of a portfolio divided