The average annual return on the S&P 500 Index from 1986 to 1995 was14.55 percent. The...
"The average annual return on the Standard and Poor's 500 Index from 1986 to 1995 was 17.6 percent. The average annual T-bill yield during the same period was 9.8 percent. what was the market risk during these 10 years?
The average annual return on the S&P 500 Index from 1996 to 2005 was 17.07 percent. The average annual T-bill yield during the same period was 4.07 percent. What was the market risk premium during these ten years?
The average annual return on an Index from 1996 to 2005 was 19.31 percent. The average annual T-bill yield during the same period was 3.91 percent. What was the market risk premium during these ten years? (Round your answer to 2 decimal places.)
Risk Premium If the annual return on the S&P 500 Index was 11.40 percent. The annual T-bill yield during the same period was 5.00 percent. What was the market risk premium during that year? Multiple Choice 5.00 percent 16.40 percent 6.40 percent 0 11.40 percent
Realized Return for the S&P 500, Microsoft, and Treasury Bills, 2002-2014 S&P 500 Index Dividends Paid S&P 500 Realized Return Microsoft Realized Return 1-Month T-Bill Return Year End 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 1148.08 879.82 1111.92 1211.92 1248.29 418.30 1468.36 903.25 1115.10 1257.64 1257.60 1426.19 1848.36 2058.90 20.80 20.98 23.15 -22.1% 28.7% 109% -22 0% 6.8% 89% 15.8% 5.5% -37.0% 26 5% 158% 20.8% -44.4% 60 5% -65% -4.5% 4.8% 47%...
1. Consider historical data showing that the average annual rate of return on the S&P 500 portfolio over the past 85 years has averaged roughly 8% more than the Treasury bill return and that the S&P 500 standard deviation has been about 20% per year. Assume these values are representative of investors' expectations for future performance and that the current T-bill rate is 5%. Calculate the expected return and variance of portfolios invested in T-bills and the S&P 500 index...
Use the data in the following table: Year End S&P 500 Index Dividends Paid* S&P 500 Realized Return Microsoft Realized Return 1-Month T-Bill Return 2004 1211.92 2005 1248.29 23.15 4.90% -0.90% 3.00% 2006 1418.3 27.16 15.80% 15.80% 4.80% 2007 1468.36 27.86 5.50% 20.80% 4.70% 2008 903.25 21.85 -37.00% -44.40% 1.50% 2009 1115.1 27.19 26.50% 60.50% 0.10% 2010 1257.64 25.44 15.10% -6.50% 0.10% 2011 1257.61 26.59 2.10% -4.50% 0.00% 2012 1426.19 32.67 16.00% 5.80% 0.10% 2013 1848.36 39.75 32.40% 44.30% 0.00%...
Consider historical data showing that the average annual rate of return on the S&P 500 portfolio over the past 90 years has averaged roughly 8% more than the Treasury bill return and that the S&P 500 standard deviation has been about 20% per year. Assume these values are representative of investors' expectations for future performance and that the current T-bill rate is 5%. Calculate the utility levels of each portfolio for an investor with A = 2. Assume the utility...
Consider historical data showing that the average annual rate of return on the S&P 500 portfolio over the past 85 years has averaged roughly 8% more than the Treasury bill return and that the S&P 500 standard deviation has been about 27% per year. Assume these values are representative of investors' expectations for future performance and that the current T-bill rate is 6%. Calculate the expected return and variance of portfolios invested in T-bills and the S&P 500 index with...
Consider historical data showing that the average annual rate of return on the S&P 500 portfolio over the past 85 years has averaged roughly 8% more than the Treasury bill return and that the S&P 500 standard deviation has been about 30% per year. Assume these values are representative of investors' expectations for future performance and that the current T-bill rate is 5%. Calculate the utility levels of each portfolio for an investor with A= 2. Assume the utility function...