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Use the following information to answer questions 2526. Interpret the Fama-French model. T-bills currently offer a 2% yield. E[r~ABC]=rF+Mkt(E[M~]rF)+BV/MV(HighLow)+Size(SmallBig) GOOGL company's factor loadings are Mkt=1.50,BV/MV=0.20,Size=1.10.
Use the following information to answer questions 2526. Interpret the Fama-French model. T-bills currently offer a 2% yield. E[r~ABC]=rF+Mkt(E[M~]rF)+BV/MV(HighLow)+Size(SmallBig) GOOGL company's factor loadings are Mkt=1.50,BV/MV=0.20,Size=1.10. The market beat Tbills by 14% this year, high B/V companies underperformed low B/V ones by 3%, and small firms outperformed large ones by 6%. Question 25 You expect GOOGL to return Question 26 Suppose GOOGL actually returns 15.5%. GOOG's alpha is. \%
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