Question: Consider the following returns for Security J , Security K , and the Market: Year Security J Security K Market 1 1 0 % 1

Consider the following returns for Security J, Security K, and the Market:
Year Security J Security K Market
110%12%6%
214%8%10%
312%16%14%
48%10%4%
520%22%16%
Assume that expected returns are modeled as average past returns, and required returns are modeled using CAPM. The risk-free rate was 4.0%. Given this information, determine Jensens Alpha for Security J.
Enter your answer is decimal format, to 4-decimal places, truncated. For example, if your answer is 12.236%, enter "0.1223".

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