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9. Modelling and evaluation of the pension fund's performance Pension funds commonly maintain a portfolio of stocks as well as a portfolio of bonds. Let

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9. Modelling and evaluation of the pension fund's performance Pension funds commonly maintain a portfolio of stocks as well as a portfolio of bonds. Let MKT represent general stock market conditions and MANAB represent the abilities of the pension fund's management, while Ry represents the risk-free rate and RP represents the risk premium. What is the best way to model the change in the value of a pension fund's stock portfolio? OAV FAR, AMANAB) O AV-AR ARP) AV TAMKT, AMANAB) OAV-AR ARP AMANAB) no better than the same as much better than Research on pension portfolio performance suggests that managed pension portfolios perform market indexes. During the credit crisis, some pension portfolios performed benchmark market indexes because their managers invested heavily in risky mortgages and mortgage-backed securities 9. Modelling and evaluation of the pension fund's performance Pension funds commonly maintain a portfolio of stocks as well as a portfolio of bonds, Let MKT represent general stock market conditions and MANAB represent the abilities of the pension fund's management, while Ry represents the risk-fron rate and RP represents the risk premium What is the best way to model the change in the value of a pension fund's stock portfolio? O 4 V = AR, AMANAB) O AVAR, ARP) V - , ) OAVAR, ARPAMANAB) the same as much worse than better than Research on pension portfolio performance sugd credit crisis, some pension portfolios performed mortgages and mortgage-backed securities pension portfolios perform market indexes. During the benchmark market indexes because their managers invested heavily in

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