Given the performance summary of a fund manager for the most recent period, which includes the following metrics: average return, volatility of returns, average return in excess of the benchmark, and volatility of active returns, along with the current risk-free interest rate, what is the correct statement among the options provided?

Exam-Like

The manager's average active return is below 2%, therefore the manager breached the limit.

14.3%

The manager's average return in excess of the risk-free interest rate is below 2%, therefore the manager breached the limit.

17.5%

The volatility of active returns achieved by the manager is below 2%, therefore the manager did not breach the limit.

52.4%

The volatility of returns achieved by the manager is below 2%, therefore the manager did not breach the limit.

15.9%

Financial Risk Manager Part 2