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Suppose an active equity manager has earned an active return of 110 basis points, of which 80 basis points is the result of security selection

Suppose an active equity manager has earned an active return of 110 basis points, of which 80 basis points is the result of security selection ability. what isthelikely sourceof the remaining 30 basis points of active return.

a) factorlimit

b) idiosyncratic source of return

c) inside information

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