Question: true or false and explain your answer . (a) In the single index model, alpha is a reward for bearing systematic risk. (b) The Treynor

true or false and explain your answer

. (a) In the single index model, alpha is a reward for bearing systematic risk. (b) The Treynor and Black optimisation procedure involves determining the amount to invest in two active portfolios. (c) In the single index model, the risk of the portfolio decreases the greater the systematic risk of the portfolio

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Day Amount DayAmount Day Amount 10 1.00165 70 1.01157 130 1.02160 20 1.00329 80 1.01323 140 1.02328 30 1.00494 90 1.01490150 1.02496 40 1.00660 100 1.01657 160 1.02665 50 1.00825 110 1.01825 170...