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10. A mutual fund has a $700 million trading position in equities. a. Calculate the 18-day value at risk (VAR) for the equity position, assuming
10. A mutual fund has a $700 million trading position in equities. a. Calculate the 18-day value at risk (VAR) for the equity position, assuming the standard deviation of daily returns on the equities is 185 basis points and 99% confidence that an adverse move will not exceed this amount. (6 points)
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