An analyst has gathered the following information about the performance of an equity fund and the S&P 500 index over the same time period.Â Using Jensenâ€™s Alpha to measure the risk/return performance of the Equity fund and the S&P 500, which of the following conclusions is CORRECT?

*Â*

*Equity Fund*

*S&P 500*

Return

23%

27%

Standard Deviation

15%

19%

Beta

1.09

1.00

Risk-free rate is 3.50%

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A.the equity fund underperformed the S&P 500 by 6.12%

B. The S&P 500 underperformed the equity fund by 2.67%.

C. The S&P 500 outperformed the equity fund by 3.24%.