…of 0.85 indicates that the portfolio's excess return is expected to perform 15% worse than the benchmark's excess return during up markets and 15% better during down markets. Excess Return - This is a measure of an investment's return in excess of a benchmark. R2 - R-Squred reflects the percentage of a portfolio's movements that can be explained by movements in its benchmark. Std Dev - Standard Deviation is a statistical measurement of dispersion about an average…