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II. Historical performance of three market indexes. In this part, you will compare historical performance of three popular market indexes: NASDAQ 100 (NDX), Russell

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II. Historical performance of three market indexes. In this part, you will compare historical performance of three popular market indexes: NASDAQ 100 (NDX), Russell 2000 (RUT), and S&P 500 (SPX). 1. Similar to Steps 1-2 of Part I, compute monthly returns for NDX, RUT, and SPX and provide their basic statistics: the mean return, the standard deviation, the lowest return, the highest returns, the sample pair-wise correlations. 2. Suppose that you had invested $1 at the beginning of 1991 in each of the three indexes. How much would you have at the end of the period? For each index, plot the value of your $1 investment over time. Put all the graphs on the same chart. 3. Briefly comment on the similarities and differences between the three market indexes.

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