Analyst has determined that the Eenith Fund tends to sell the winners and buy the losers. An examination of the semiannual holdings of the fund reveals that the best performing assets often are not held in the subsequent sixmonth period. At the same time the new entrants to the Eenith Fund often were underperformers prior to being added. Consider the strategy or tactic of selling the winners and buying the losers. A] Explain how this action might be appropriate as a passive portfolio action. B] Explain why some people might adopt this action as part of an acljye portfolio strategy. Consider the bonds below and determine relative duration. As there are three bonds, there are three pairs of bonds. For each comparison provide one sentence or one clause explaining why a bond has a higher duration than the other bond. Bond Coupon rate Time to maturity A 7% 7 years B 3% 7 years C 7% 9 years a) Bond A and Bond B b) Bond A and Bond C () Bond B and Bond CSuppose that during the most recent 10 year period, the average annual total rate of return on the aggregate market portfolio, namely the All Ordinaries Accumulation Index, was 12 per cent, its standard deviation was 10 per cent, and the average annual risk free rate of return was 5 per cent. You are evaluating the following funds: Fund Average Annual Beta Standard Rate of Return % Deviation % A 12 0.90 5.5 B 6 1.05 10.0 1.20 7.5 a ) Calculate the Jensen performance measure for each of the funds. Your method of calculation must be clear. b) On the basis of the Jensen measure, which fund performed the worst? For Fund A, provide an interpretation of the Jensen performance measure you calculated. Briefly explain