Consider the following information for a mutual fund, the market index, and the risk-free rate....
90.2K
Verified Solution
Link Copied!
Question
Finance
Consider the following information for a mutual fund, the market index, and the risk-free rate. You also know that the return correlation between the fund and the market is 0.91. Risk- Free Year Fund Market 2008 -20.6% -39.5% 2009 25.121 2010 13.9 13.9 2011 7.6 8.8 2012 -21 -5.2 1% 3 2 4 2 Calculate Jensen's alpha for the fund, as well as its information ratio. (Round your Jensen's alpha answer to 2 decimal places & Information ratio answer to 4 decimal places. Omit the "%" sign in your response.) % Jensen's alpha Information ratio
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
