Question: Your portfolio returned 14.1% last year, with a beta equal to 1.8. The market return was 11.0%, and the risk-free rate 5.1%. Did you earn
Your portfolio returned 14.1% last year, with a beta equal to 1.8. The market return was 11.0%, and the risk-free rate 5.1%. Did you earn more or less than the required rate of return on your portfolio? (Use Jensen's measure.) The Jensen's measure for your portfolio is 1% (Round to two decimal places.) You earned the required rate of return on your portfolio. (Select from the drop-down menu.)
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
