Question: Consider the (excess return) index-model regression results for stocks A. The risk-free rate over the period was 6%, and the market's average return was 14%.

Consider the (excess return) index-model regression results for stocks A. The risk-free rate over the period was 6%, and the market's average return was 14%. Performance is measured using an index model regression on excess returns. 1% + 1.2(r. M-rf ) with an R2 of 0.576 and residual standard deviations of 10.3%. What is the Information Ratio of Stock A? r M -r f With an 0.097 0.01
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