9. Consider the two (excess return) index-model regression results for stocks A and B. The risk-free rate over the period was 6%, and the market's average return was 14%. Performance is measured using an index model regression on excess returns. Stock A Stock B Index model regression estimates 1% + 1.2(rM - r) 2% + 0.8(rM – r) R-square 0.576 0.436 Residual standard deviation, o(e) 10.3% 19.1% Standard deviation of excess returns 21.6% 24.9% a. Calculate the following statistics for each stock: i. Alpha ii. Information ratio iii. Sharpe ratio iv. Treynor measure

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