Refer back to Table 9.3. What range of risk premiums would you expect to see 68 per
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Refer back to Table 9.3. What range of risk premiums would you expect to see 68 per cent of the time for Europe? What about 95 per cent of the time?
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Table 9.3 Worldwide Risk Premiums Relative to Bonds, 1900-2010 Country Belgium Canada Denmark Finland France Germany Ireland Italy The Netherlands Norway South Africa Spain Sweden Switzerland UK US Europe Geometric Arithmetic Standard Mean (%) Mean (%) Dev. (%) 2.6 4.9 3.7 5.3 2 in m 5.6 3.2 5.4 2.9 3.7 3.5 2.5 5.5 2.3 3.8 2.1 3.9 4.4 3.9 3.4 9.2 5.6 8.8 4.9 7.2 2.1 5.5 19 4.3 6.1 3.6 1.6 19 5.2 21.4 18.2 17.2 30.3 22.9 28.4 19.8 29.6 22.2 28 19.6 20.8 22.3 17.6 17 20.5 16.6 Min. Return (%) -60.3 -40.7 -54.3 -56.3 -50.3 -50.8 -66.6 -49.4 -55.6 -57.8 -34.3 -42.7 -48.1 -40.6 -38.4 -50.1 -47.6 Max. Return (%) 84.4 48.6 74.9 173.1 84.3 116.6 83.2 152.2 107.6 192.1 70.9 69.1 87.5 52.2 80.8 57.2 67.9
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Related Book For
Corporate Finance
ISBN: 9780077173630
3rd Edition
Authors: David Hillier, Stephen A. Ross, Randolph W. Westerfield, Bradford D. Jordan, Jeffrey F. Jaffe
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