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Question 18 (Mandatory) (1 point) Saved All else the same, the higher the Alpha of a stock the higher its optimal proportion in an active

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Question 18 (Mandatory) (1 point) Saved All else the same, the higher the Alpha of a stock the higher its optimal proportion in an active portfolio True False Question 19 (Mandatory) (1 point) All else the same, the information ratio tells us that the higher the Residual Variance (i.e. the firm specific risk) of a stock the lower its optimal proportion in an active portfolio True False Question 18 (Mandatory) (1 point) Saved All else the same, the higher the Alpha of a stock the higher its optimal proportion in an active portfolio True False Question 19 (Mandatory) (1 point) All else the same, the information ratio tells us that the higher the Residual Variance (i.e. the firm specific risk) of a stock the lower its optimal proportion in an active portfolio True False

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