Question: Using the data in the following table, estimate the average return and volatility for each stock. Realized Returns Year 2008 2009 2010 2011 2012

Using the data in the following table, estimate the average return and 

Using the data in the following table, estimate the average return and volatility for each stock. Realized Returns Year 2008 2009 2010 2011 2012 2013 The return of stock A is The return of stock B is The variance of stock A is The variance of stock B is Stock A 10% 5% 10% - 2% 2% 14% %. (Round to two decimal places.) %. (Round to two decimal places.) (Round to five decimal places.) (Round to five decimal places.) The standard deviation of stock A is Stock B 12% 37% 7% - 2% - 15% 27% The standard deviation of stock B is %. (Round to two decimal places.) %. (Round to two decimal places.)

Step by Step Solution

3.36 Rating (152 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

Alright lets calculate the average return and volatility for each stock based on the given data 1 ... View full answer

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!