Question
Your portfolio returned 14.7% last year, with a beta equal to 1.6. The market return was 12.4%, and the risk-free rate 3.9%. Did you earn
Your portfolio returned
14.7%
last year, with a beta equal to
1.6.
The market return was
12.4%,
and the risk-free rate
3.9%.
Did you earn more or less than the required rate of return on your portfolio? Use Jensen's measure.
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Principles Of Finance With Excel
Authors: Simon Benninga
2nd Edition
0199755477, 9780199755479
