Suppose portfolio a has an expected return of 8 volatility

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Suppose Portfolio A has an expected return of 8%, volatility of 20%, and beta of 0.5. Suppose the market has an expected return of 10% and volatility of 25%. Finally, suppose the risk-free rate is 5%. What is Jensen's alpha for Portfolio A?

A.10.0%

B.1.0%

C.0.5%

D.15%

Reference no: EM13568858

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