Use the dataset managers from the PerformanceAnalytics package in R. This dataset is already in XTS format and no further data cleaning is necessary. Please use this dataset as is and DO NOT impute any null values with 0. The dataset begins on 1996-01-31 and end on 2006-12-31. It contains the following variables: HAM1-HAM6: Columns of monthly returns for six hypothetical asset managers EDHEC LS EQ: EDHEC Long-Short Equity hedge fund index SP500 TR: S&P 500 total returns US 10YR TR: Total return series for US Treasury 10-year bond US 3m TR: Total return series for US Treasury 3-month bill The dataset "managers can be found by using the following code: if (!require(PerformanceAnalytics)) install.packages("PerformanceAnalytics") library(PerformanceAnalytics) data(managers) Note: You may or may not need the following dependencies lubridate package

Q1) $8,000 invested in HAM1 at the start of the entire period would have grown to ____ by the end of the period. (Dataset period: 1996-01-31 to 2006-12-31)

1) $40,205.40

2) $17,118.30

) $23,320.45

4) $33,013.37

Q2) Find the Treynor ratio for HAM4 and HAM3 (using the Performance Analytics library). When finding both ratios use SP500 TR as your benchmark market return. Also, be careful to select the "US 10Y TR as your Risk-Free rate. Comparing the Treynor ratio values, which had a stronger performance? Group of answer choices

A) HAM3s Treynor ratio is higher than HAM4, thus HAM3 had more reward per unit of systematic risk than HAM4

B) HAM3s Treynor ratio is lower than HAM4, thus HAM3 had less reward per unit of systematic risk than HAM4

C) HAM4s Treynor ratio is higher than HAM 3, thus HAM4 had more reward per unit of systematic risk than HAM3

D) HAM3 and HAM 4 have the same Treynor Ratio and thus have equivalent reward to systematic risk profiles

Q3) Which manager had the highest Jensens Alpha? (Hint: You can use the US 10 Year Treasury Bond as the Risk-Free Rate and the S&P 500 Data as the Market Return)

A) Hypothetical Manager 1

B) Hypothetical Manager 2

C) Hypothetical Manager 3

D) Hypothetical Manager 4