Question: please respond to this post: By knowing the 10 year historical return of a given asset, it can shape your investment decision by showing the
please respond to this post:
By knowing the 10 year historical return of a given asset, it can shape your investment decision by showing the reflection of the past performance of the asset. It will assist in predicting the future return of the said asset. Also, it will allow an understanding of the standard deviation so the total risk of the asset can try to be determined. When this information is determined, it will give an advantage of knowing if the investment decision will be wise. By having a future expectation of the given asset, it will help manage risks and expect certain returns that come with the risks.
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