lcw77

hellscream Wrote:
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> Xtra Wrote:
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> > Lol... Why is this quiz called Jensen's alpha
> >
> >
> > A
>
>
> Because choosing A is easy, but why C is wrong?

I had that same question and thought the same thing. Schweser gave a great reason that it was Treynor was risk adjusted.

I guess subtracting out Beta(MKT - RFR) provides more information than dividing by beta on risk.

The more you read the CFA curriculum the more you realize Schweser has not been updated in a long time and their interpretations are just that interpretations of the problems.