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beks73 [17]
3 years ago
5

A portfolio manager generates a 10% rate of return on a "small cap" portfolio, compared to an 8% rate of return on the benchmark

portfolio and a 6% rate of return on the Standard and Poor's 500 index over the same period. The active rate of return on the portfolio is:
Business
1 answer:
dybincka [34]3 years ago
6 0

Answer:

2%

Explanation:

Data provided in the question

Generated rate of return = 10%

The rate of return on the portfolio = 8%

The rate of return on the index = 6%

Based on the above information, the active rate of return is

= Generate rate of return - the rate of return on the portfolio

= 10% - 8%

= 2%

It shows the difference between the benchmarked portfolio and the generated rate of return and the same is applied

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Answer:

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a market is a market for new issues of securities. a market is a market for already existing securities.
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