Question: currently I have some problem with the active portfolio which is how can I decide the weight of the assets in the active portfolio. should
currently I have some problem with the active portfolio which is how can I decide the weight of the assets in the active portfolio. should I maximize the alpha (actual return - camp because the active portfolio return needs to be greater than the passive return ) to decide the weights for the active portfolio? or I should maximize the sharp ratio to decide the weights for the active portfolio? but I'm not sure whether the active portfolio should have the highest sharp ratio or not.
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