The Jensen-Treynor Alpha Is Equal To

question 31

Multiple Choice

The Jensen-Treynor alpha is equal to:

• A)the Treynor ratio divided by Jensen's alpha.
• B)the Treynor ratio multiplied by Jensen's alpha.
• C)Jensen's alpha divided by beta.
• D)Jensen's alpha divided by the standard deviation.
• E)Jensen's alpha divided by the Treynor ratio.

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Definitions:

Denoted

Denoted refers to the act of symbolically representing something - for example, variables in mathematical equations or formulas are often denoted by letters or symbols.

Null Hypothesis

A statement or hypothesis set for statistical testing, suggesting no significant effect or relationship between variables.

Population Parameter

A characteristic or measure that describes an aspect of an entire population, such as its mean or variance.

Value

The importance, worth, or usefulness of something or a numerical quantity assigned to a variable.