Suppose last year your portfolio had an average weekly return of 1% and weekly standard deviation of

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Suppose last year your portfolio had an average weekly return of 1% and weekly standard deviation of 1.5%. You want to understand your risk exposure.

a) Suppose your investment in this portfolio is for $100,000. What is the most you can expect to lose in dollars over the next week with 95% confidence?

b) What is the maximum percentage return you can expect to lose at 99% confidence level?

Related Book For answer-question

Essentials of Business Statistics Communicating With Numbers

ISBN: 978-0078020544

1st edition

Authors: Sanjiv Jaggia, Alison Kelly

Posted Date: Apr 03, 2021 06:36 AM

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Suppose last year your portfolio had an average weekly return of 1% and weekly standard deviation of

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Essentials of Business Statistics Communicating With Numbers

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