Question: Problem 2 ( Required , 2 5 marks ) The following table shows the actual expected return and beta of 5 fundsActual expected returnBeta

Problem 2(Required,25 marks) The following table shows the actual expected return and beta of 5 fundsActual expected returnBeta \(\beta_{\text {iM }}\)Standard deviation of return It is given that - The return rate of riskfree asset is \(4\%\).- There are at least 2 funds which the performance matches the market expectation. (a) Which fund(s) performs better than the market expectation? Which fund(s) performs worse than the market expectation? Explain your answer. (-)Hint: Use the suitable performance index and think about the key criterion)(b) Compute the Jensen Alpha of the fund which performs better than market expectation.
Problem 2 ( Required , 2 5 marks ) The following

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