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Which fund's returns are best explained by the market's returns? Fund Fund 1 Fund 2 Fund 3 Fund 4 0000 Standard Deviation Fund 1 Fund

Which fund's returns are best explained by the market's returns? Fund Fund 1 Fund 2 Fund 3 Fund 4 0000 Standard Deviation Fund 1 Fund 2 Fund 3 Fund 4 1.97 2.97 3.82 3.50 Beta 1.0 0.8 1.2 1.4 Jensen's Alpha 1.3 0.6 -3.5*- 4.2 R 0.95 0.80 0.90 0.65

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