Two investment advisers are comparing performance

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Reference no: EM131298227

Two investment advisers are comparing performance. One averaged a 17% rate of return and the other a 13.5% rate of return. However, the beta of the first investor was 1.5, whereas that of the second was 1. If the T-bill rate were 4% and the market return during the period were 13%, which investor would be the superior stock selector?

Reference no: EM131298227

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