Appendix . Endnotes
One CAPM application is to assess and measure fund managers’ performance. See Jensen (1968), Sharpe (1964), and Treynor (1965). This application largely coincides with the establishment of the Employee Retirement Income and Security Act (ERISA). The legal structures that fell upon trustees as a result of the new law, combined with financial economic developments, resulted in a wider use of benchmark managers. The benchmarks began as a legal firewall for trustees operating ...