If a PM has a -1% Fama-French alpha, would you expect this PM to underperform or outperform

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If a PM has a -1% Fama-French alpha, would you expect this PM to underperform or outperform the S&P500 on average over time? Please explain carefully.

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Statistics For Business Decision Making And Analysis

ISBN: 9780321890269

2nd Edition

Authors: Robert Stine, Dean Foster

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Posted Date: Apr 09, 2024 01:22 PM

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If a PM has a -1% Fama-French alpha, would you expect this PM to underperform or outperform

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Yes a Portfolio Manager PM with a 1 FamaFrench alpha would be expected to underperform the SP 500 on ... View the full answer

Statistics For Business Decision Making And Analysis

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