Question: What would be a better contract if CAPM is the correct model? Bonus can only be positive when the CAPM alpha is negative Bonus can

What would be a better contract if CAPM is the correct model? Bonus can only be positive when the CAPM alpha is negative Bonus can only be positive when the CAPM alpha is positive Bonus should not be correlated with the CAPM alpha Bonus should be determined by the CAPM beta instead

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