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Business, 03.12.2019 02:31 julie47d

Two investment advisers are comparing performance. adviser a averaged a 20% return with a portfolio beta of 1.5, and adviser b averaged a 15% return with a portfolio beta of 1.2. if the t-bill rate was 5% and the market return during the period was 13%, which adviser was the better stock picker? a. advisor a was better because he generated a larger alpha. b. advisor b was better because she generated a larger alpha. c. advisor a was better because he generated a higher return. d. advisor b was better because she achieved a good return with a lower beta.

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