Question
estimate a regression with stock's excess return as the dependent (Y) variable and the S&P 500 excess return as the independent (X) independent variable. compute
estimate a regression with stock's excess return as the dependent (Y) variable
and the S&P 500 excess return as the independent (X) independent variable.
compute excess return, assume risk free rate to be 3%. (1
Stock Return Market Return
0.029239093 0.054892511
-0.031040806 -0.004188588
0.024533589 0.023201461
Do I subtract the risk free rate for both columns to then run the regression?
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Project Finance In Theory And Practice Designing Structuring And Financing Private And Public Projects
Authors: Stefano Gatti
4th Edition
032398360X, 9780323983600
