Question: True or False. and briefly explain. a. A covered call strategy (long stock plus short call) offers a premium. All investors prefer this strategy to

True or False. and briefly explain.

a. A covered call strategy (long stock plus short call) offers a premium. All investors prefer this strategy to a protective put strategy (long stock plus long put) because the latter requires investors to pay a premium.

b. If the Jensen Measure of a fund is zero, then the Sharpe Measure and information ratio must also be zero.

c. The efficient market hypothesis states that investors cannot make abnormal profits because they must earn the riskfree rate.

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