Question
The formulas for Selectivity are as follows: Selectivity = Overall performance - Risk Selectivity = (R i - R f ) - [(R m -
The formulas for Selectivity are as follows:
Selectivity = Overall performance - Risk
Selectivity = (Ri - Rf ) - [(Rm - Rf) * Bi]
Consider a mutual fund which has a return of 17 percent and a Beta of 1.05. The market return is 12% and the risk-free rate is 7%.
Compute the Selectivity of this mutual fund
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Introduction To Financial Models For Management And Planning
Authors: James R Morris, John P Daley
2nd Edition
1498765041, 9781498765046
