$"4.(10$ points$)$ Determine whether Daryl should buy or sell any of the

stocks based on your quantitative analysis."

Risk versus Return DD PBB MS MI

Return

$5$ Year Total Return $46\%145\mathrm{.}33\%220\mathrm{.}00\%41\mathrm{.}67\%$

Annual HPR $9\mathrm{.}13\%29\mathrm{.}07\%44\mathrm{.}00\%41\mathrm{.}67\%$

EAR $7\mathrm{.}81\%19\mathrm{.}66\%26\mathrm{.}19\%7\mathrm{.}21\%$

Expected Return

CAPM Expected Return $5\mathrm{.}56\%8\mathrm{.}44\%11\mathrm{.}03\%7\mathrm{.}00\%$

Buy$/$Sell By Rule

Risk

Standard Deviation $5\%15\%19\%5\%$

Beta $0\mathrm{.}751\mathrm{.}251\mathrm{.}701\mathrm{.}00$

Correlation $0\mathrm{.}645\%(0\mathrm{.}30)100\%$

Coefficient of Variation on HPR $0\mathrm{.}550\mathrm{.}520\mathrm{.}430\mathrm{.}12$

Coefficient of Variation on EAR $0\mathrm{.}640\mathrm{.}760\mathrm{.}730\mathrm{.}69$