A fund manager presents a 5-year track record with a Sharpe ratio of 1.5, but the entire track record was generated at a prior firm. Under GIPS standards, how should this 'portable alpha' track record be treated?
-
A
It is fully valid and must be presented to all prospects
-
B
It may be presented only if the team and process are substantially intact and properly disclosed
-
C
It cannot be used under any circumstances for marketing purposes
-
D
It is automatically compliant as long as it is audited