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Consider the following investment: Two years ago, you bought stocks for EUR 1 5 , 0 0 0 . One year ago, the value of

Consider the following investment:
Two years ago, you bought stocks for EUR 15,000.
One year ago, the value of your portfolio was EUR 16,200. Then you invested EUR
25,000 more into the stocks of the same company.
Today, the value of your portfolio is EUR 61,800.
Compute the
a) geometric return ("time weighted return"),
b) internal rate of return (yield, "dollar weighted return").
c) Which one would you prefer in general if you worked as a fund manager for a client putting randomly money in and out of the fund
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