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  3. you have been given the following return informati

You have been given the following return information for a mutual fund, the market index,...

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Finance

You have been given the following return 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 .93.

Year Fund Market Risk-Free
2015 23.60 % 44.50 % 1 %
2016 25.10 21.50 3
2017 14.40 15.40 2
2018 7.00 9.20 6
2019 2.40 6.20 2

Calculate Jensens alpha for the fund, as well as its information ratio. (Do not round intermediate calculations. Enter the alpha as a percent rounded to 2 decimal places. Round the ratio to 4 decimal places.)

Jensen's alpha

Information ratio

Answer & Explanation Solved by verified expert
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