Question: Find Jensen's Alpha given the following data for a mutual fund. The average risk-free rate=2% and average return on the market=6%. Ave. portfolio return=8%, Beta=1.2,

Find Jensen's Alpha given the following data for a mutual fund. The average risk-free rate=2% and average return on the market=6%. Ave. portfolio return=8%, Beta=1.2, Ave. benchmark return=7%, standard deviation of returns=24%, tracking error=20%. Give your answer as a percent and to the nearest 0.01% (e.g. type 3.25 if your answer is three and a quarter percent).

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