Abstract
In this report we ask the questions Can fund managers form better-performing portfolios of stocks or bonds, in particular, can they take advantage of: 1) Single-index Capital Asset Pricing Models (CAPM), 2) Multi-factor models, 3) Generalized CAPM (G-CAPM) to improve stock and bond mutual fund performance? We find the following answers: 1) Using CAPM can increase gross annual returns by 70 basis points to 80 basis points, 2) Using multi-factor models can increase gross annual returns by 200 basis points or more, 3) Using G-CAPM can increase gross annual returns by 300 basis points or more.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
