Suppose that an investor has $40 invested in the active fund and $60 in cash (measured in thousands, say). What investments in the passive fund, the hedge fund, and cash (i.e., the risk free asset) would yield the same market exposure, same alpha, same volatility, and same exposure to t? As a result, what is the fair management fee for the hedge fund in the sense that it would make the investor indifferent between the two allocations (assume that the hedge fund charges a zero performance fee)?