Question

**An investor realized the following returns in 4 last
years: 16%, 11%, 5%, -2%. Time-weighted rate of return over the
4-year period is:**

8.13% |
||

5.45% |
||

7.29% |
||

7.78% |

Answer #1

**SEE THE IMAGE. ANY DOUBTS,
FEEL FREE TO ASK. THUMBS UP PLEASE**

Q1) A stock earned annual returns of 5%, 10%, -7%, and 16% for
the last four years.
a) What is the arithmetic average return for the stock over the
last four years?
b) What is the standard deviation of the returns over the last
four years?
c) What is the geometric average return for the stock over the
last four years?
d) What is the holding period return for the stock over the last
four years?
e) What would have...

4. Measuring standalone risk using realized
data
Returns earned over a given time period are called realized
returns. Historical data on realized returns is often used to
estimate future results. Analysts across companies use realized
stock returns to estimate the risk of a stock.
Five years of realized returns for Falcon Freight Inc. (Falcon)
are given in the following table:
2012
2013
2014
2015
2016
Stock return
6.25%
4.25%
7.50%
10.50%
3.25%
Also note that:
1.
While Falcon was started...

This is Actuarial Science
Problem 3 - Dollar-weighted and Time-weighted rate of
returns
An investment account has a value of $7000 on 1/1/2014. A deposit
of XX is made on 5/1/2014, a withdrawal of $400 is made on
9/1/2014, and a deposit of $300 is made on 11/1/2014. The balance
on December 31, 2014 is $8074.
Find the amount of the first deposit if the dollar-weighted rate of
return is 6%
X=
Problem 8 - Dollar-weighted and Time-weighted rate of...

3. Measuring stand-alone risk using realized
(historical) data
Returns earned over a given time period are called realized
returns. Historical data on realized returns is often used to
estimate future results. Analysts across companies use realized
stock returns to estimate the risk of a stock.
Consider the case of Blue Llama Mining Inc. (BLM):
Five years of realized returns for BLM are given in the
following table. Remember:
1.
While BLM was started 40 years ago, its common stock has...

3. Measuring stand-alone risk using realized (historical) data
Returns earned over a given time period are called realized
returns. Historical data on realized returns is often used to
estimate future results. Analysts across companies use realized
stock returns to estimate the risk of a stock. Consider the case of
Celestial Crane Cosmetics Inc. (CCC): Five years of realized
returns for CCC are given in the following table. Remember: 1.
While CCC was started 40 years ago, its common stock has...

A stock had returns of 4 percent, 11 percent, 16 percent, -6
percent, and -2 percent for the past five years. Based on these
returns, what is the approximate probability that this stock will
return at least 20 percent in any one given year?
A) Greater than 1 percent but
less than 2.5 percent.
B) Greater than 2.5 percent but
less than 16 percent.
C) Greater than .5 percent but
less than 1 percent.
D) Less than .5 percent.
E)...

Consider the following five monthly returns: 7%, -2%, 5%
11%, -3%
a. Calculate the arithmetic average monthly return over this
period and express your answer as a percentage per month.
b. Calculate the geometric average monthly return over this
period.
c. Calculate the monthly variance over this period.
d. Calculate the monthly standard deviation over this
period.

A mutual fund has earned annual returns of 11%, -5% and 33% over
the past three years. If the average risk-free rate during that
time was 2% per year, what was this fund's Sharpe Ratio during that
time period?

A mutual fund has earned annual returns of 11%, -5% and 15% over
the past three years. If the average risk-free rate during that
time was 2% per year, what was this fund's Sharpe Ratio during that
time period?

A mutual fund has earned annual returns of 11%, -5% and 27% over
the past three years. If the average risk-free rate during that
time was 2% per year, what was this fund's Sharpe Ratio during that
time period?

ADVERTISEMENT

Get Answers For Free

Most questions answered within 1 hours.

ADVERTISEMENT

asked 6 minutes ago

asked 7 minutes ago

asked 7 minutes ago

asked 9 minutes ago

asked 13 minutes ago

asked 29 minutes ago

asked 31 minutes ago

asked 39 minutes ago

asked 42 minutes ago

asked 49 minutes ago

asked 1 hour ago

asked 1 hour ago