You have the following rates of return for a risky portfolio for several recent years: 2016...
Homework Answers
a)
average = (31.23% + 19.67% - 8.37% + 22.65%)/4
= 16.295%
b)
variance = [(0.3123-0.16295)^2 + (0.1967-0.16295)^2 + (-0.0837-0.16295)^2 + (0.2265-0.16295)^2]/3
= 0.02943977
standard deviation = sqrt(variance)
= sqrt(0.02943977)
= 17.16%
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You
have the following rates of return for a risky portfolio for
several recent years:
2016...
You have the following rates of return for a risky portfolio for several recent years. Assume...
You have the following rates of return for a risky portfolio for several recent years. Assume that the stock pays no dividends. Year Beginning of Year Price # of Shares Bought or Sold 2014 $30 110 bought 2015 $35 60 bought 2016 $31 85 sold 2017 $34 85 sold What is the geometric average return for the period?
You have the following rates of return for a risky portfolio for several recent years. Assume...
You have the following rates of return for a risky portfolio for
several recent years. Assume that the stock pays no dividends. Year
Beginning of Year Price # of Shares Bought or Sold 2014 $110 270
bought 2015 $115 220 bought 2016 $111 245 sold 2017 $114 245
sold
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several recent years. Assume that the stock pays no dividends. Year
Beginning of Year Price # of Shares Bought or Sold 2014 $110 270
bought 2015 $115 220 bought 2016 $111 245 sold 2017 $114 245
sold
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