2. ( 30 points ) The performance of two mutual funds is shown below: A researcher runs the Fama-French three-factor regression rfund,trf,t=+m(rm,trf,t)+smbrsmb,t+hmlrhml,t+t using monthly data of the past five years for these two funds and obtain the following results, where numbers inside the parentheses are t-statistics: Fund 1: (0.4)(2.8) rfimd2,trf,t=0.003+0.9(rm,trf,t)+0.1rsmb,t+0.1rhml,t Fund 2 : (2.5)(2.6) The researcher also obtains the following market conditions based on historical data Assume that the Fama and French three-factor model is the correct model. Based on the above information, which fund performed better in year 2017? Why