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A mutual fund earned an average annual return of 10.0% over the last 5 years. During that time, the average risk-free rate was 0.7% and
A mutual fund earned an average annual return of 10.0% over the last 5 years. During that time, the average risk-free rate was 0.7% and the average market return was 7.1%. If the fund has beta of 0.87, what was its annual alpha? Answer in percent, rounded to two decimal places. (e.g., 4.32% = 4.32)
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