Question: Using the data in the following table, estimate the average return and volatility for each stock. Year Stock A Stock b 2008 -5% 15% 2009

Using the data in the following table, estimate the average return and volatility for each stock.

Year Stock A Stock b

2008 -5% 15%

2009 19% 31%

2010 10% 4%

2011 -4% .5%

2012 3% -9%

2013 15% 23%

What is the variance of stock a? Stock b?

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!