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When Abrams and Townsend investigated the natural selection of copepods that avoid predation of bioluminescent dinoflagellates,which of the following best states the hypothesis they were testing?
Treynor's Measure
A performance metric for determining how well an investment portfolio has compensated the investor for the risk taken, using beta as the risk measure.
Risk-Free Return
The theoretical return on an investment with zero risk, typically represented by government bonds or bills, serving as a benchmark for assessing investment performance.
Information Ratio
This ratio measures the excess return of a portfolio over the benchmark's return, relative to the volatility of those excess returns, indicating the portfolio manager's ability to generate consistent excess returns.
Risk-Free Return
The theoretical return on investment with no risk of financial loss, often represented by the yield on government securities.
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