Question: 8. The DAX 40 is a share index based on the price movements of shares quoted on the Frankfurt stock exchange. The figures below are
8. The DAX 40 is a share index based on the price movements of shares quoted on the Frankfurt stock exchange. The figures below are the quarterly percentage returns for a tracker fund linked to the DAX 40, over the period January 2011 to December 2014. a. Compute the mean, variance and standard deviation for the quarterly returns. b. Financial analysts often use standard deviation of percentage returns as a measure of risk for stocks and mutual funds. Construct a 95 per cent confidence interval for the population standard deviation of quarterly returns for the DAX 40 tracker fund
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