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The risk-free rate is 1%. A mutual fund that is invested in stocks has a beta of 1.2. The market risk premium is 7%. The

The risk-free rate is 1%. A mutual fund that is invested in stocks has a beta of 1.2. The market risk premium is 7%.

The actual return of the fund is 10%. By how much did the fund outperform? Note: a positive answer shows outperformance, and a negative number shows underperformance.

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