The Jensen Portfolio Evaluation Measure

question 83

Multiple Choice

The Jensen portfolio evaluation measure

• A)is a measure of return per unit of risk,as measured by standard deviation.
• B)is an absolute measure of return over and above that predicted by the CAPM.
• C)is a measure of return per unit of risk,as measured by beta.
• D)A and B.
• E)B and C.

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Definitions:

Self-Managing Teams

Groups of employees empowered to make decisions, manage tasks, and resolve problems without direct supervision, aiming to improve efficiency and job satisfaction.

Participative Decision Making

A decision-making process that involves consultation with, and input from, all stakeholders or team members before making a final decision.

Principled Leadership

Leading based on defined moral principles, often characterized by integrity, honesty, and ethical decision-making.

Multi-Step Process

A procedure or task that involves several stages or phases to complete.