Question: You have found an asset with an arithmetic average return of 13.90 percent and a geometric average return of 10.50 percent. Your observation period is
You have found an asset with an arithmetic average return of 13.90 percent and a geometric average return of 10.50 percent. Your observation period is 50 years. What is your best estimate of the return of the asset over the next 5 years? 10 years? 20 years?
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