Aportfolio manager has maintained an actively managed


A portfolio manager has maintained an actively managed portfolio with a beta of 0.5. During the last year, the risk free rate was 2.5% and equities performed very poorly providing a return of -20%. The portfolio manager produced a return of -10% and claims that in the circumstances it was a good performance. Discuss this claim.

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Microeconomics: Aportfolio manager has maintained an actively managed
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