Since April 1, 2021, the ETF has had the following periodic returns and net asset levels....
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Since April 1, 2021, the ETF has had the following periodic returns and net asset levels. Fund Net Return Fund Assets ($ Bn) $23.27 Date 4/1/21 7/1/21 10/1/21 1/1/22 3/1/22 -.63% 1.07% -37.29% -16.13% $25.01 $19.48 $16.19 $12.18 (i) Assuming investors stayed in this ETF for the entire period between the dates listed above and only added or subtracted money to or from the Fund on these dates, what was their cumulative profit or loss measured in dollars over the entire eleven months from 4/1/21 to 3/1/22? (ii) Assuming an investor bought this ETF on 4/1/21 and held it through 3/1/22, what would have been their total return? What would have been their effective annualized return? (8 points) (iii) Without doing any calculations, would investors' dollar-weighted average return been higher or lower than the return you calculated in part (ii) immediately above? Briefly explain your answer. (7 points) Extra Credit: What was the Fund's dollar-weighted return during this period [note: to make the calculation easier, assume the last date in the table is 4/1/22, rather than 3/1/22]? Since April 1, 2021, the ETF has had the following periodic returns and net asset levels. Fund Net Return Fund Assets ($ Bn) $23.27 Date 4/1/21 7/1/21 10/1/21 1/1/22 3/1/22 -.63% 1.07% -37.29% -16.13% $25.01 $19.48 $16.19 $12.18 (i) Assuming investors stayed in this ETF for the entire period between the dates listed above and only added or subtracted money to or from the Fund on these dates, what was their cumulative profit or loss measured in dollars over the entire eleven months from 4/1/21 to 3/1/22? (ii) Assuming an investor bought this ETF on 4/1/21 and held it through 3/1/22, what would have been their total return? What would have been their effective annualized return? (8 points) (iii) Without doing any calculations, would investors' dollar-weighted average return been higher or lower than the return you calculated in part (ii) immediately above? Briefly explain your answer. (7 points) Extra Credit: What was the Fund's dollar-weighted return during this period [note: to make the calculation easier, assume the last date in the table is 4/1/22, rather than 3/1/22]?
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The images show a financerelated question about an ETFs performance over a period of time and asks about the cumulative profit or loss total return annualized return and dollarweighted average return ... View the full answer
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
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