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Consider the two (excess return) index model regression results for stocks A and B The free rate over the period was 5%, and the market's

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Consider the two (excess return) index model regression results for stocks A and B The free rate over the period was 5%, and the market's average return was 12%. Performance is measured using an index model regression on excess returns SA Index sodel regression states 10.1.2 20+ 0.6E-P) H-aquare Rosal standard deviation, 10.70 19.50 standard deviation of exons recorde 25.78 a. Calculate the following statistics for each stock use whole percent values, 1%, not 0.01 for example, for your calculations (Round your answers to 4 decimal places.) Stock Stock Alpha Information ratio Sharpe ratio Treyne more b. Which stock is the best choice under the following circumstances? This is the only risky asset to be held by the investor This book will be mked with the rest of the investor's portfolio, curranty composed solely of holdings in the marketindex find This is one of many stocks that the investors analyzing to form an actively managed stock portfolio MacBook Pro w 3 96 5 4 B 9 W E R . Y S D F G H V B N M Consider the two (excess return) index model regression results for stocks A and B The free rate over the period was 5%, and the market's average return was 12%. Performance is measured using an index model regression on excess returns SA Index sodel regression states 10.1.2 20+ 0.6E-P) H-aquare Rosal standard deviation, 10.70 19.50 standard deviation of exons recorde 25.78 a. Calculate the following statistics for each stock use whole percent values, 1%, not 0.01 for example, for your calculations (Round your answers to 4 decimal places.) Stock Stock Alpha Information ratio Sharpe ratio Treyne more b. Which stock is the best choice under the following circumstances? This is the only risky asset to be held by the investor This book will be mked with the rest of the investor's portfolio, curranty composed solely of holdings in the marketindex find This is one of many stocks that the investors analyzing to form an actively managed stock portfolio MacBook Pro w 3 96 5 4 B 9 W E R . Y S D F G H V B N M

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