The table below gives performance forecasts for two famous hedge funds: Black Rock and Paulson. It also shows the expected market return and the risk free rate. Black Rock Paulson Market Risk free Expected Return 30% 20% 10% 1% Standard Deviation 60% 24% 10% 0 Beta 4 2 1 0 Which fund is expected to perform the best relative to the CAPM? Black Rock because it has the highest alpha O a. Black Rock because it has a large beta Both funds are expected to perform equally well Oc. d. Paulson because it has the highest alpha Black Rock because it has a very large expected return O e