Question: 3. Suppose the returns and corresponding beta values for two assets (A and B} were as indicated on the following graph: ample mun return (a)

3. Suppose the returns and corresponding beta values for two assets (A and B} were as indicated on the following graph: ample mun return (a) Compute the Trey-nor Ratio for A and B. Interpret the results. (b) Compute the Jensen Alpha for A and B. Interpret the results. (c) Suppose one manager had selected a portfolio represented by A and another manager had selected a. portfolio represented by B. Would you feel condent in evaluating the manager's relative performance with the Treynor or Jensen results

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